BIOWORTH INDIA PRIVATE LIMITED,KOLKATA vs. DCIT, CENTRAL CIRCLE-2(3), BANGALORE

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ITA 1049/BANG/2022Status: DisposedITAT Bangalore02 January 2023AY 2014-154 pages
AI SummaryRemanded

What did the Tribunal hold?

The Tribunal found substance in the assessee's application requesting a fresh adjudication by the CIT(A). The CIT(A) had erroneously stated that no evidence was furnished, which the DR conceded.

What were the facts?

The assessee claimed various expenses including repair, travelling, professional fees, lease rent, and corporation tax. The Assessing Officer disallowed these claims, leading to an assessment of total income. The CIT(A) partly allowed the assessee's appeal.

What were the issues?

Whether the CIT(A) erred in disallowing expenses without considering the evidence submitted by the assessee, and whether a fresh adjudication is warranted.

Which sections of the Income-tax Act were involved?

Section 35DD

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, “SMC’’ BENCH: BANGALORE

For Appellant: Shri Akkal Dudhewewala, A.R
Hearing: 26.12.2022Pronounced: 02.01.2023

PAN NO : AALAS0134P APPELLANT RESPONDENT Appellant by : Shri Akkal Dudhewewala, A.R. Respondent by : Shi Ganesh R Gale, Standing Counsel for Department. Date of Hearing : 26.12.2022 Date of Pronouncement : 02.01.2023 O R D E R PER LAXMI PRASAD SAHU, ACCOUNTANT MEMBER:

The appeal filed by the assessee is against order passed by the CIT(A) dated 26.9.2022.

2.

The brief facts of the case are that the assessee has filed return of income on 27.9.2014 declaring nil income. The case was selected for scrutiny and statutory notices were issued to the assessee. During the course of scrutiny assessments, the AO observed that the assessee has claimed various expenditure and the details were examined by the AO. After considering the submissions made by the assessee, the AO disallowed the following claims: 1. Repair & Maintenance - Rs.13,63,362/- 2. Travelling & Conveyance Expenses - Rs.3,41,581/- 3. Professional fees u/s 35 DD of the Act- Rs.2,59,710/- 4. Lease rent paid - Rs.2,04,903/- 5. Corporation tax - Rs.6,02,220/-

M/s. Bioworth India Pvt. Ltd., West Bengal Page 2 of 4 2.1 The AO as per the above disallowance assessed the total income of Rs.27,71,776/-.

3.

Aggrieved from the above order, the assessee has filed appeal before the CIT(A) and the ld CIT(A) partly allowed the appeal of the assessee. The ld AR reiterated the submissions made before the lower authorities. The ld AR submitted that the CIT(A) has wrongly decided the issue without considering the submissions made in ITBA portal. Therefore, as per assessee’s application letter dated 29.11.2022, he requested that the matter may be sent back to the CIT(A0 for a fresh adjudication. Letters submitted by the assessee are as under:

M/s. Bioworth India Pvt. Ltd., West Bengal Page 3 of 4

4.

The ld DR fairly accepted that the CIT(A) has erroneously mentioned in his order that the assessee has not furnished any evidences in support of his claims and he drew my attention on the application submitted by the assessee.

M/s. Bioworth India Pvt. Ltd., West Bengal Page 4 of 4 5. Considering the rival submissions and request made by the assessee vide application cited (supra). I find substance on the applications made by the assessee. Therefore, in the interest of justice, the case is remitted back to the file of ld. CIT(A) for fresh adjudication and the assessee is given liberty to produce the documents in support of his claim as raised by him in the grounds of appeal.

6.

In the result, the appeal filed by the assessee is allowed for statistical purposes.

Order pronounced in the open court on 2nd Jan, 2023.

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