Held that section\u00a040A(2)(b)\u00a0had no application to income aspect of the assessee-joint venture. The Assessing Officer had not brought any comparable figures to disallow the expenditure, moreover with the structure of the joint venture, the provisions of section\u00a040A(2)(b)\u00a0were not attracted. Hence, the Assessing Officer had fallen into error in determining the profit at 8 per cent. and invoking the provisions of section\u00a040A(2)(b)\u00a0and the Commissioner (Appeals) had also erred in determining the profit of the assessee at 3.78 per cent. equal to the profit of one of the parties to the joint venture. Addition is deleted. (AY.2014-15)<\/p>\n","protected":false},"excerpt":{"rendered":"
S. 40A(2): Expenses or payments not deductible-Excessive or unreasonable-Joint venture-Assessing Officer had not brought any comparable figures to disallow expenditure \u2014Addition is deleted. [S.40A(2)(b)] <\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-45219","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-bLl","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/45219","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=45219"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/45219\/revisions"}],"predecessor-version":[{"id":45220,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/45219\/revisions\/45220"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=45219"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=45219"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=45219"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}