M/S. GOEL BROTHERS,,PUNE vs. DEPUTY COMMISSIONER OF INCOME-TAX, CIRCLE - 7,, PUNE

This appeal by the assessee against the order dated 22-11-2017 passed by the Commissioner of Income Tax (Appeals)-5, Pune [‘CIT(A)’] for assessment year 2013-14.

We find this appeal was filed with a delay of 365 days. To condone the said delay, the assessee filed notarized affidavit dated 29-03-2019 explaining the reasons for delay. On perusal of the same upon hearing both the parties, the delay of 365 days is condoned.

At the outset, the ld. AR submitted that the AO made disallowance of Rs.24,35,880/- u/s. 14A r.w. Rule 8D(2)(iii). The contention of ld. AR is that the disallowance so made by the AO u/s. 14A r.w. Rule 8D(2)(iii) is excessive in respect of exempt income earned. We find force in the arguments of ld. AR. Therefore, we deem it proper to remand the issue to the file of AO for its fresh verification for making disallowance against those investments yielded exempt income. The assessee is liberty to file evidences, if any, in support of its claim. Thus, the ground raised by the assessee is allowed for statistical purpose.

In the result, the appeal of assessee is allowed for statistical purpose.