Loading judgment…
No AI summary yet for this case.
Income Tax Appellate Tribunal, SMC BENCH, PUNE
Before: SHRI R.S. SYAL
आदेश / ORDER
PER R.S. SYAL, VP:
This appeal by the assessee arises out of the ex parte order dated 08-10-2023 passed by the ld. CIT(A) in National Faceless Appeal Centre (NFAC), Delhi u/s.250 of the Income-tax Act, 1961 (hereinafter also called ‘the Act’) in relation to the assessment year 2015-16.
The only issue raised in this appeal is against the confirmation of addition of Rs.3,54,533/-.
Succinctly, the facts of the case are that the assessee is in the business of providing training and coaching. During the course of assessment proceedings, the Assessing Officer (AO) observed that the turnover of the assessee as per the income-tax return was shown at Rs.1,89,91,707/-, whereas such turnover as per service-tax return was Rs.1,93,46,240/-, leaving a difference of Rs.3,54,533/-. On being called upon to explain the difference, the assessee submitted that the audit of the accounts transpired certain reversal of sales which could not be adjusted in the service-tax return as the time limit for revising such return, 90 days, had elapsed. Not convinced, the AO made the addition, which came to be confirmed in the first appeal.
I have heard the ld. DR and perused the relevant material on record. There is no appearance from the side of assessee despite notice. I am, therefore, proceeding to dispose of the appeal on merits ex parte qua the assessee.
It is clear from the factual scenario that there was a difference of Rs.3.54 lakh in the turnover shown by the assessee as per the income- tax return and the service-tax return. Explanation was also tendered that certain reversal of sales could not be adjusted in the service-tax returns because of the time limit for revising the return had gone.
However, the assessee could not substantiate such reversal of entries before the authorities below. Considering the facts in totality, I am of the considered opinion that it would be in the fitness of things if the impugned order is set-aside and the matter is restored to the file of ld. CIT(A) for giving one more opportunity to the assessee for explaining the reversal of entries to the tune of Rs.3.54 lakh. In case, the assessee still fails to satisfactorily explain its claim, then the procedure of law may take its own course. Needless to say, the assessee will be allowed reasonable opportunity of hearing in such fresh proceedings before the ld. CIT(A).
In the result, the appeal is allowed for statistical purposes.
Order pronounced in the Open Court on 20th December, 2023.