Times Guaranty Ltd vs. ACIT (ITAT Mumbai)
The contention that whether a transaction is a lease
transaction or a finance transaction is a debatable legal issue, we are not
inclined to accept this argument also. Whether a transaction is a lease
transaction or a loan transaction, in our view, is a factual issue which is to
be decided after appreciation of the relevant facts. If the facts show that the
assessee has put a wrong claim of depreciation by showing a finance or loan
transaction as a lease transaction, certainly the claim is to
be disallowed.
However, in cases, where from the facts and evidences on the file it can be
shown that the transaction was real or genuine, the relief of claim of
depreciation is to be allowed. In the case in hand, from the facts, it was
clearly established that the assessee had put a wrongful claim of depreciation
and thereby had furnished inaccurate particulars of income for the purpose of
concealment of real income, hence, the penalty proceedings were correctly initiated by the AO.
No comments:
Post a Comment