What did the Tribunal hold?

The Tribunal noted that the CIT(A) had not adjudicated the grounds of appeal concerning the claim of agricultural income exemption. Therefore, the appeals were restored to the CIT(A) for proper adjudication.

The assessee, a tea manufacturer, claimed exemption for agricultural income under Rule 8. The CIT(A) failed to adjudicate the grounds related to this claim in the assessment years 2018-19 and 2019-20.

What were the issues?

Whether the CIT(A) properly adjudicated the assessee's claim for exemption of agricultural income. The failure of the CIT(A) to address specific grounds of appeal.

Borgang Tea Company Pvt. Ltd… vs DCIT | s.250 | ITAT Guwahati 2023

Income Tax Appellate Tribunal, “GUWAHATI ‘SMC’ BENCH, GAUHATI

Before: Shri Sanjay Garg

आदेश / ORDER The captioned two appeals have been preferred by the assessee against the separate orders both dated 11.10.2022 of the National Faceless Appeal Centre [hereinafter referred to as ‘CIT(A)’] passed u/s 250 of the Income Tax Act (hereinafter referred to as the ‘Act’). The assessee’s appeal for the assessment year 2018-19 in is taken as lead case for narration of facts. 2. At the outset, the ld. Counsel for the assessee has invited my attention to Ground No.3 taken before the CIT(A) which reads as under: “The CPC has erred in adding the entire amount of Rs.9,66,075/- u/s 36(1)(va) without giving relief for agricultural income as per Rule 8(B).”

&48/GTY/2022 Assessment Years: 2018-19 & 2019-20 Borgang Tea Company Pvt Ltd

The ld. Counsel for the assessee has submitted that the assessee is a tea manufacturer and the assessee has claimed exemption under Rule 8 of the Income Tax Rules on agricultural income, however, the ld. CIT(A) has failed to adjudicate the grounds.

4. I have gone through the impugned order of the CIT(A) to note that the ld. CIT(A) has not adjudicated these grounds of appeal

. The facts are identical in assessee’s appeal for assessment year 2019-20 also, wherein, also the identical ground was taken by the assessee but the ld. CIT(A) has failed to adjudicate the same. In view of this, the matter in both the appeals is restored to the file of the CIT(A) for adjudication on the assessee’s aforesaid grounds relating to the claim of exemption of agricultural income. Needless to say that the ld. CIT(A) will give proper opportunity to the assessee to present his case and thereafter, to decide the issue in accordance with law.

5. In the result, both the appeals of the assessee are treated as allowed for statistical purposes. Kolkata, the 16th March, 2023. Sd/- [संजय गग� /Sanjay Garg] �या�यक सद�य/Judicial Member Dated: 16.03.2023. RS Copy of the order forwarded to:

1. Borgang Tea Company Pvt Ltd

2. DCIT/ACIT, Circle-1, Guwahati

3. CIT (A)- &48/GTY/2022 Assessment Years: 2018-19 & 2019-20 Borgang Tea Company Pvt Ltd

CIT- , 5. CIT(DR),

BORGANG TEA COMPANY PVT. LTD.,KOLKATA vs. DCIT/ACIT CIR-1, GUWAHATI

What did the Tribunal hold?

What were the facts?

What were the issues?

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