- (1.) ALL the appeals have been filed by the department against the consolidated order dated 28.06.2013, passed by the Income Tax Appellate Tribunal in I.T.A. Nos. 296, 297, 344, 411/LKW/2011 for the assessment years 2006 -07, 2007 -08, 2005 -06 and 2008 -09.
(2.) THE brief facts of the case are that the assessee is registered as a co -operative society. For the assessment year 2005 -06, the A.O. has assessed it as A.O.P., but in the remaining assessment years, it was assessed as society. The assessee has moved an application under Section -10 (23C)(vi).
(3.) ON 13.11.2007, a search was conducted at the business premises of the assessee. On the basis of search material, the A.O. has made various additions, which were deleted by the first appellate authority and also by the Tribunal. Being aggrieved, the department has filed the present appeals. With this background, we have heard Sri Govind Krishna, learned counsel for the appellant -department, who submits that assessee has borrowed loan from various sources. In earlier years, the assessee paid the interest @ 10%, but during the assessment year under consideration, the assessee has shown the interest payment @ 18% to 24%. However, the C.I.T.(A.) has restricted the same @ 18%, which was endorsed by the Tribunal. He further submits that the payment of interest @ 18% is in excessive and not permissible as per Section -40A (2)(b) of the Act. He relied on the ratio laid down in the case of Pawan Kumar Agarwal Vs. Acoitc Income Tax Appeal (Defective) No. 25 of 2003 dated 27.08.2012.;