SCAN INFRASTRUCTURE LTD,KOLKATA vs. DCIT, CIRCLE-14(2), KOLKATA, KOLKATA

This appeal filed by the assessee is directed against the order of Ld. CIT(Appeals) – 5, Kolkata dated 30.11.2016 passed ex-parte whereby he upheld the order passed by the A.O. under section 154 rejecting rectification sought by the assessee on the issue of disallowance of Rs. 47,67,968/- under section 14A of the Act.

I have heard the arguments of both the sides and also perused the relevant material available on record. As submitted by the learned counsel for the assessee, the disallowance under section 14A of the Act read with rule 8D was determined by the A.O. in the order originally passed under section 143(3) on 31.03.2015, but the same was not added by him in the tax calculation sheet. This mistake was subsequently rectified by the A.O. vide an order dated 22.05.2015 passed under section 154 and the appeal filed by the assessee against the said order was dismissed by the Ld. CIT(A) vide his impugned order passed ex-parte. The learned counsel for the assessee has submitted that the assessee meanwhile had filed an appeal against the order passed by the A.O. under section 143(3) disputing the determination of disallowance under section 14A read with rule 8D and while disposing of the same vide his appellate order dated 15.12.2017, the Ld. CIT(A) has already been deleted the entire disallowance of Rs. 47,67,968/- made by the A.O. under section 143(3). He has contended that as a result of the said relief allowed by the Ld. CIT(A) to the assessee, the order passed by the A.O. under section 154 as well as the entire proceedings emanating from the same including this appeal filed by the assessee before the Tribunal has become infructuous. The learned DR has also not disputed this position clearly evident from documentary evidence placed by the learned counsel for the assessee on record including the copy of order of the Ld. CIT(A)dated 15.12.2017. This appeal of the assessee filed before the Tribunal thus has become infructuous and is liable to be dismissed. We order accordingly.

In the result, the appeal of the assessee is dismissed. Order Pronounced in the Open Court on 10th April, 2018.