SUYASH AUTO PRESS COMPONENTS AND ASSEMBLYS PVT.LTD,,PUNE vs. INCOME-TAX OFFICER, WARD - 6 (4),, PUNE

The assessee raised three grounds of appeal which are as under : “1. The learned A.O. erred in (and CIT(A)) in making disallowing under section 14A r.w.s. Rule 8D of Rs.1,68,359/-. 1.1 The learned AO (and CIT(A)) erred in considering investments made in partnership firm from which no exempt income has been earned during the FY 2014-15 (relevant to AY 2015-16), while computing disallowance u/s. 14A.

At the outset, we note that vide Para No. 2 and also Para No. 3.2 of the impugned order, we note that the CIT(A) disposed off the appeal dismissing the grounds raised challenging the action of AO against the disallowances made u/s. 36(1)(ii) and u/s. 14A r.w. Rule 8D of the Rules in the absence of assessee. The ld. AR submits that no opportunity was available to the assessee to support the grounds raised before the CIT(A). If this Tribunal affords an opportunity for the assessee to prosecute grounds raised before the CIT(A), the assessee is ready to substantiate its claim before the First Appellate Authority. The ld. DR did not report any objection in remitting the matter to the file of CIT(A). Therefore, in the facts and circumstances of the case and submissions of ld. AR and ld. DR in the interest of justice, we deem it proper to remand the issues to the file of CIT(A) for its fresh consideration. The assessee is liberty to file evidence, if any, in support of its claim. Thus, the grounds raised by the assessee are allowed for statistical purpose.

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