M/S.CYTOZYME EASTERN INDIA PRIVATE LIMITED,KOLKATA vs. ITO, WARD - 7(4), KOLKATA, KOLKATA

After hearing both the parties, we find that the CIT-A dismissed the grounds of appeal of assesse ex parte. On perusal of record, we find that the AO made additions of Rs.7,42,50,000/- u/s. 68 of the Act and Rs. 23,784/- u/s. 14A of the Act, which was confirmed by the CIT-A ex parte. Before us the contention of the ld. AR was that no opportunity was given to assessee by the CIT-A to prove/ explain the transactions involved in introduction of share capital. He also contended that taking into consideration the fact of amount of addition involved in the appeal, the matter may be remanded to the AO instead of CIT-A. As noted above, the addition made u/s. 68 of the Act requires explanation to be offered to the satisfaction of AO. Therefore, taking into consideration the facts and circumstances of the case, submissions of the ld. AR and in the interest of natural M/s. Cytozyme Eastern India Private Limited justice, we deem it fit and proper to remand the issue(s) involved in the appeal to the file of AO for his consideration to conduct assessment de novo. The assesse is at liberty to file necessary evidences/explanation, if any. Grounds raised by the assesse are allowed for statistical purpose.

In the result, the appeal of assessee is allowed for statistical purpose. Order pronounced in the open court on 21-08-2018