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Income Tax Appellate Tribunal, [ DELHI BENCH: ‘B’ NEW DELHI ]
Before: SHRI ANIL CHATURVEDI & SHRI YOGESH KUMAR U.S.
This appeal is filed by the assessee against the order dated 09.02.2018 of the ld. Commissioner of Income Tax (Appeals)-28, [hereinafter referred to CIT (Appeals) New Delhi, for assessment year 2014-15.
Spazzio Project & Interiors, ND
The assessee has raised the following substantive grounds of appeal :-
“1. That having regard to the facts and circumstances of the case, Ld. CIT(A) has erred in law and on facts in confirming the action of Ld. AO in making addition of Rs.4,42,24,072/- on account of alleged difference in contractual receipts as shown in Form 26AS and as per profit and loss account and further erred in treating the same as alleged undisclosed income of the assessee and that too by recording incorrect facts and findings and without considering the submissions of the appellant and in violation of principles of natural justice.
2. That in any case and in any view of the matter, action of Ld. CIT(A) in confirming the action of Ld. AO in making addition of Rs.4,42,24,072/- on account of alleged difference in contractual receipts, is bad in law and against the facts and circumstances of the case.
3. That having regard to the facts and circumstances of the case Ld. CIT(A) has erred in law and on facts in not reversing the action of the Ld. AO in charging interest under section 234A, 234B and 234D of the Income Tax Act, 1961.”
Brief facts of the case are that, the assessee has filed return declaring income of Rs. 12,25,420/- during the assessment proceedings, the Ld. A.O. found that the assessee had disclosed total receipts of Rs. 4,94,78,527/- on its profit and loss account which included contract receipts of Rs. 4,70,99,572/- and other receipts of Rs. 12,35,002/- wherein in Form No. 26AS, the total
Spazzio Project & Interiors, ND receipts were disclosed at Rs. 9,15,35,420/- on which total tax of Rs. 18,47,650/- was deducted. The assessment order came to be passed by making an addition of Rs. 4,42,24,072/- on the ground that the assessee had received contractual receipts of Rs. 9,13,23,644/- but it disclosed contract receipts of only Rs. 4,70,99,572/- in it P & L Account and ITR.
Aggrieved by the assessment order dated 14/12/2016, the assessee has preferred an appeal before the Ld.CIT(A). the Ld.CIT(A) vide order 09/02/2018 dismissed the appeal filed by the assessee by observing that the assessee had failed to reconcile the contractual receipts as shown in the Form No. 26AS and as claimed by it in the P & L Account and also failed to give proper and satisfactory reply. Further found that even during the appellate proceedings also, the assessee had failed to reconcile the difference in receipt shown in the Form 26AS and profit and loss account.
Aggrieved by the order of the Ld.CIT(A) dated 09/02/2018, the assessee preferred the present appeal on the grounds mentioned above.
The assessee has preferred the application under Rule 29 of the Income Tax Appellate Rule 1963 by producing the following documents as additional evidence.
Spazzio Project & Interiors, ND
S. Particulars Page No. Nos. of our PB Copy of revised Form 26 AS of assessee for AY 2014-15. 1 31-34 2 Copy of Form 26AS of assessee for AY 2012-13 to AY 46-85 2020- 21. 3 Copy of Chart showing total bills raised in respect of 86-93 customer M/s ALM Infotech Pvt. Ltd. along with its ledger account for AY 2013-14 to AY 2015-16 in the books of assessee and copy of invoices raised in AY 2013-14 and AY 2015-16. 4 Copy of Chart showing total bills raised in respect of 94-98 customer M/s Esprit India Pvt. Ltd. along with its ledger account for AY 2012-13 to AY 2015-16 in the book of assessee and copy of invoices for AY 2013-14 and AY 2015-16. Copy of Chart showing total bills raised in respect of 5 99-114 customer M/s DLF Home Developers Ltd. along with its ledger account for AY 2013-14 to AY 2020-21 in the books of assessee Copy of Chart showing total bills raised in respect of 6 115- customer M/s DLF Home Universal Ltd. along with its 126 ledger account for AY 2013-14 to AY 2020-21 in the books of assessee.
Ld. Counsel for the assessee submitted that after the assessment proceedings, TDS entries have been revised by a deductor and the Form 26AS was also revised. Therefore, such revised Form 26AS is now being produced by assessee as additional evidence along with the Form 26AS of the subsequent
Spazzio Project & Interiors, ND years which were not available at the time of assessment and thus, could not have been produced at the assessment stage. The Ld. Counsel further submitted that other additional evidences which assessee intend to place are bills, ledger accounts of the parties for AY 2012-13 to AY 2020-21 who have deducted TDS on contract receipts during the relevant year and Form 26AS of preceding years. Thus, the Ld. Counsel for the assessee submitted that the matter may be remanded to the file of Ld. A.O. for de-novo verification by considering the additional evidences produced by the assessee.
Per contra, the Ld. DR has agreed for remanding the matter to the file of Ld. A.O. for de-novo consideration.
Heard the parties, perused the material on record and gave our thoughtful consideration. On perusal of the documents produced along with the application filed under Rule 29 of the Income Tax Rule 29 of the Income Tax Rules, it is found that after the assessment proceeding, the TDS entries have been revised by the deductor and Form No. 26AS was also revised. The said revised Form No. 26AS was not available on the date of passing of the assessment order. Therefore, we deem it fit to admit the additional evidences produced by the assessee and remand the matter to the file of Ld. A.O. for de-novo consideration of the matter along with the documents produced as additional evidence. Accordingly, the appeal filed by the assessee is partly allowed for statistical purpose with a direction to the Ld. A.O. to consider the additional evidence produced by the assessee and pass appropriate order in accordance with law. Needless to say, the assessee shall be provided with liberty of being heard.
Spazzio Project & Interiors, ND
In the result, the appeal filed by the assessee is partly allowed for statistical purpose.
Order pronounced in the open court on :16th February, 2023.