DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE-32, KOLKATA, KOLKATA vs. SHREEKRISHAN GOSWAMI, KOLKATA, WEST BENGAL

ITA 92/KOL/2024Status: DisposedITAT Kolkata31 December 2024AY 2014-15Bench: Shri Sanjay Garg (Judicial Member), Shri Rajesh Kumar (Accountant Member)5 pages
AI SummaryDismissed

What did the Tribunal hold?

The CIT(A) deleted the additions, holding that there was no cessation of liability as the assessee had made full or part payments in subsequent financial years. The Tribunal upheld the CIT(A)'s order, finding no reason to interfere.

What were the facts?

The Assessing Officer (AO) added certain sundry creditor balances to the assessee's income under Section 41(1) of the Income Tax Act, 1961, on the grounds that the assessee failed to produce creditors for verification and the liabilities were deemed to have ceased. The assessee provided details and evidence of payments made in subsequent years.

What were the issues?

Whether the AO was justified in invoking Section 41(1) for sundry creditors when the assessee provided evidence of subsequent payments and the CIT(A) found no cessation of liability.

Which sections of the Income-tax Act were involved?

Section 41(1),Section 133(6),Section 250

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, “C” BENCH KOLKATA

Before: Shri Sanjay Garg & Shri Rajesh Kumar

Per Sanjay Garg, Judicial Member :

The captioned appeal has been preferred by the revenue against the order dated 29.11.2023 of the Ld. Commissioner of Income Tax, (Appeal), National Faceless Appeal centre (NFAC), Delhi [hereinafter referred to as the “Ld. CIT(A)”] passed u/s. 250 of the Income-tax Act, 1961 (hereinafter referred to as the “Act”) for AY 2014-15. 2. The revenue has taken the following grounds of appeal: “1.That the Ld. CIT(A) has erred in not considering the fact that the assessee has failed to produce S/creditor parties before the Assessing Officer for verif

The order continues below.

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