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Facts
The assessee, a contractor operating two JCBs, filed returns under the presumptive tax scheme at 8%. During scrutiny assessment, the Assessing Officer disallowed the entire expenditure related to the JCB income due to the assessee's non-cooperation. The CIT(A) dismissed the assessee's appeal without considering the evidences submitted, prompting the assessee to request income estimation.
Held
The Tribunal observed that the CIT(A) had recorded expense details and that the assessee claimed to possess supporting evidence. Therefore, in the interest of justice, the Tribunal restored the issues back to the Assessing Officer for readjudication, granting the assessee an adequate opportunity to present all required evidences to prove the claim of expenses.
Key Issues
The key issue was the Assessing Officer's disallowance of the entire expenditure related to the assessee's JCB income, which was upheld by the CIT(A) without considering the evidences. The tribunal addressed whether the matter should be remanded for fresh adjudication to allow the assessee to produce evidence.
Sections Cited
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Income Tax Appellate Tribunal, RANCHI BENCH, RANCHI
Before: SHRI GEORGE MATHAN & SHRI RATNESH NANDAN SAHAY
Assessee represented by Shri Manjeet Verma, A.R. Department represented by Shri Khub Chand Pandya, Sr.DR Date of hearing 07/10/2025 Date of pronouncement 07/10/2025 O R D E R PER: BENCH 1. This is an appeal filed by the assessee against the order of the ld. CIT(A), NFAC, Delhi in Appeal No. CIT(A), Hazaribagh/10139/2018-19 dated 17/09/2024 for the A.Y. 2016-17.
Shri Manjeet Verma, ld. AR is represented on behalf of the assessee and Shri Khub Chand Pandya, ld. Sr. DR represented on behalf of the revenue.
It was submitted by the ld. AR that the assessee is a contractor, who is running two JCBs. It was a submission that the assessee was regularly filing his return of income declaring his income under presumptive tax @ of 8%. During the impugned assessment year, the assessee had filed his return of income and the same was taken up for scrutiny. It was a submission that unfortunately, the assessee had not cooperated in the assessment proceedings and consequently, the Assessing Officer had disallowed the entire expenditure in relation to the