On appeal to Tribunal, it was observed that the assessee had neither credited rental income nor claimed any expenditure on account of payment made to the trust in profit and loss account. Tribunal further observed that such entries were merely pass through entries without any adverse revenue implication and thus upheld the order of CIT(A) deleting the disallowance.(ITA No. 3846/ 4342/Del/2012)(AY.2007-08)
DLF Limited v. Addl. CIT (2018) 63 ITR 22 (Delhi) ( Trib)
S. 40(a)(ia):Amounts not deductible – Deduction at source – Certain income and expenditure are merely pass through entries and there is no case of any adverse revenue implication, no disallowance can be made.