NAIYER SULTAN,KOLKATA vs. ADIT, KOLKATA

Being aggrieved by the said adjustment made by the CPC assessee preferred appeal before the ld. CIT(A). However, ld. CIT(A) rejected the claim of the assessee observing that the assessee in the return of income did not claim the expenses u/s 57 of the Act. That the assessee straight away claimed the net amount in the return of income whereas the assessee was Assessment Year: 2017-19 Naiyer Sultan 2 supposed to firstly mention the gross income and thereafter the assessee was supposed to claim the expenditure. Because of the said reason, the CPC rightly booked up the gross receipts as income of the assessee.

We have heard rival contentions and perused the material available on record.

It has been held time and again that the Income-tax Authorities should charge legitimate taxes from the assessees. The assessees should not be burdened with high taxes because of their bona fide mistakes. Rather it is the duty of the Income-tax Authorities to help the assessees for the assessment of their correct income. In our view, if there was any bona fide mistake or error that occurred while filing of the online return and the CPC had made certain adjustments, the duty was cast upon the CIT(A) to have looked into the matter and assessed the correct income of the assessee. The powers of the CIT(A) are co-terminus with that of the Assessing Officer and in this case, the ld. CIT(A) has failed to exercise the juri iction to assess the true and real income of the assessee. In view of this, the matter is restored to the file of the ld. CIT(A) with a direction that the ld. CIT(A) irrespective of any error or indiscrepancies in the Form of the return, would consider the claim of the assessee on merits and allow the assessee the admissible deduction and will assess the correct income of the assessee.

With the above observations, appeal of the assessee is allowed for statistical purposes.

""यथ" / The Respondent 3. संबंिधत आयकर आयु" / Concerned Pr. CIT 4. आयकर आयु" अपील / The CIT(A)- ( ) 5. िवभागीय "ितिनिध अिधकरण अपीलीय आयकर कोलकाता/DR,ITAT, Kolkata, , , 6. गाड" फाईल /Guard file.