DCIT, NEW DELHI vs. M/S. PSB INDUSTRIES INDIA PVT. LTD., NEW DELHI

PDF · subscribers
ITA 4975/DEL/2014Status: DisposedITAT Delhi08 December 2020AY 2005-062 pages

In favour of the assessee: the Revenue's appeal was dismissed. From the AI summary of this appeal.

AI SummaryDismissed

What did the Tribunal hold?

The Tribunal held that since the Revenue did not challenge the quashing of the reopening of the assessment, it had no authority to decide the additions on merits. Therefore, the appeal was dismissed.

What were the facts?

The assessee's assessment was reopened to disallow expenses under Section 14A and determine the annual value of a property. The CIT(A) quashed the reopening, stating it was based on a change of opinion, and also deleted the disallowances on merits.

What were the issues?

Whether the reopening of assessment was valid when it was based on a change of opinion and whether the additions made on merits can be considered when the reopening itself is unchallenged.

Which sections of the Income-tax Act were involved?

Section 14A,Section 147,Section 143(3)

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, DELHI BENCH “C”: NEW DELHI

Before: SHRI AMIT SHUKLA & SHRI PRASHANT MAHARISHI

For Respondent: Shri Gaurav Dudeja, Sr. DR
Hearing: 08/12/2020Pronounced: 08/12/2020

O R D E R PER PRASHANT MAHARISHI , A. M.

1.

This appeal is filed by the ld DCIT, Circle-14(1), New Delhi for Assessment Year 2005-06 against the order of the ld CIT(A)-17, New Delhi dated 27.06.2014. The ld CIT(A) passed an order in appeal filed by the assessee against the assessment order passed by the ld AO i.e. DCIT, Circle-14(1), New Delhi u/s 147 read with section 143(3) of the Act, 1961 dated 25.03.2013.

2.

The brief facts of the case shows that the assessee is a company who originally filed return of income on 30.03.2006 declaring loss of Rs. 157050/-. The assessment u/s 147 read with section 143(3) was completed on 29.09.2009 at the total income of Rs. 60,53,100/-. Subsequently, the assessment was reopened for disallowance of expenditure u/s 14A of the Act and determination of the annual value of the property. The ld AO subsequently determined the expenses disallowable u/s 14A of the Act of Rs. 575764/-. Further, the annual lettable value of a property was also determined at Rs. 5,76,63,600/-. Page | 1

More judgments on Section 14A

All 15,875 judgments and leading authorities on Section 14A →

Recent GST High Court judgments

Search GST case law →