Disallowance u/s 40(a)(ia) after deduction u/s 10b

Assess has claimed deduction u/s 10B for A.Y 2009-10, while freight charges were disallowed u/s 40 (a) (ia) for non deduction of TDS. However 10B deduction was allowed on increased income also.

In A.Y 2010-11, deduction u/s 10B had expired. meanwhile assessee had paid the TDS on freight charges and claimed it as deduction.

A.O disallowed the same, stating that, assessee was not burdened with any additional tax in A.Y 2009-10, even after the dis-allowance u/s 40(a)(ia) because of 10B. Hence now the deduction can not be allowed against the taxable profits. Please suggest whether appeal against this order will sustain. or any other remedy available for this.

Thanks,
Saurabh Nene