BHARAT ANAND,NEW DELHI vs. ACIT, CIRCLE-61(1), NEW DELHI

Heard and perused.

The assessee has preferred this appeal challenging the impugned order of ld CIT(A)-20, New Delhi in appeal no 20/10387/2018-19 dated 24.12.2018 for Assessment Year 2016-17 and at the time of hearing in regard to grounds as raised the ld AR submitted that primarily the assessment order and the consequent order of the ld First Appellate Authority, have been challenged for invoking wrong methodology of calculation of the disallowances.

The ld AR referred to the Central Board of Directs Taxes notification dated 02.06.2016 S. O. 1949(E) and submitted that w.e.f 02.06.2016, Rule 8D of the Income Tax Rules was substituted and the ld AO was supposed to make a calculation according to said Rule however, the calculation has been done in ignorance of Notification dated 02.06.2016. 4. The ld DR could not rebut the same.

On perusal of para 4.2 of the assessment order it can be observed that the ld AO had referred to un-amended Rule 8D. That being so, the assessment order is set aside and the issue is restored to the files of Ld. AO to make to make a recalculation and passed a fresh assessment order according to Amended Rule. Order pronounced in the open court on 29/11/2022. - - (SHAMIM YAHYA) JUDICIAL MEMBER Dated: 29/11/2022 A K Keot