B & A MULTIWALL PACKAGING LIMITED,BHUBANESWAR vs. DCIT, BHUBANESWAR

आयकर अपीऱीय अधिकरण, कटक न्यायपीठ,कटक IN THE INCOME TAX APPELLATE TRIBUNAL CUTTACK BENCH CUTTACK BEFORE SHRI N.S.SAINI, AM & SHRI PAVAN KUMAR GADALE, JM आयकर अऩीऱ सं./ITA No.46/CTK/2015 (नििाारण वषा / Assessment Year :2009-2010) B&A Packaging India Limited, Vs. DCIT, Circle-1(1), (formerly B&A Multiwall Bhubaneswar-751007 Packaging Limited) C/o Mr. Shyam Sundar Patri, Chartered Accountant, 1185/1186, Tankapani Road, Bhubaneswar- 751018 स्थायी लेखा सं./जीआइआर सं./ PAN/GIR No. : AABCB 2140 C (अऩीऱाथी /Appellant) (प्रत्यथी / Respondent) .. ननधााररती की ओर से /Assessee by : Shri Partha Mukhopadhyay, AR राजस्व की ओर से /Revenue by : Shri D.K.Pradhan, DR सुनवाई की तारीख / Date of Hearing : 27/06/2017 घोषणा की तारीख/Date of Pronouncement 28/06/2017 आदेश / O R D E R Per Shri Pavan Kumar Gadale, JM: The assessee has filed this appeal against the order of CIT(A)-I, Bhubaneswar, dated 3.11.2014 in I.T.Appeal No.0062/13-14, passed u/s.147/144 of the Act. The assessee has raised sole ground that the CIT(A) has erred in confirming the addition of Rs.91,661/- of interest income made by the AO. 2. Brief facts of the case are that the assessee is engaged in the business of manufacturing multiwall paper sacks and flexi packaging, filed the Return of income on 29.09.2009 declaring total income at Rs.9,51,620/- for the assessment year 2009-2010 and the Return of income was processed u/s.143(1) of the Act. Subsequently, the

2 ITA No.46/2015 assessment was reopened by issuing notice u/s.148 of the Act, however, assessee did not file any reply in response to the notice u/s.148. Thereafter notice u/s.142(1) was issued, the AO applied the Best judgment assessment has completed the assessment. Ld. AO found that there is a difference of interest income offered by the assessee on comparison with the Form No.26AS from Income Tax Website and issued a show cause notice to the assessee on 24.12.2012, in response to the notice ld. AR filed written submission explaining the difference. However, the AO was not satisfied with the explanations and the assessee has not provided any reconciliation of interest amount and the ld. AO made addition of Rs.91,661/- and assessed income of Rs.10,43,280/- and passed the assessment order u/s.147/144, dated 15.03.2013. 3. Aggrieved by the order of AO, the assessee preferred an appeal before the CIT(A). Ld. CIT(A) considering the findings of the AO and the submission of assessee on interest income, information every year as on 31st March found that there is no merit in the explanation and the assessee has to offer the interest income as reflected in the 26AS form and confirmed the addition made by the AO and dismissed the appeal of the assessee. 4. Aggrieved by the order of the CIT(A) the assessee filed the present appeal before the Tribunal. 5. Before us, ld. AR argued that the assessee has disclosed this interest income in the earlier years and in the current assessment year the proportionate interest income has been offered. The ld. AR drew our

3 ITA No.46/2015 attention to the pages 20 to 25 of the paper book, where interest has been shown in the earlier and subsequent assessment years. On a query from the bench as to whether this reconciliation statement was filed and explained before the AO, ld. AR could not give us convincing reply. We, considering the material evidence filed before us, are of the opinion that one more opportunity should be provided to the assessee before the assessing authority. Therefore, in the interest of justice, we remit the disputed issue to the file of AO to verify the interest amount, TDS claim and reconciliation of interest income with Form 26AS and the assessee shall be provided adequate opportunity of being heard and shall cooperate in submitting the details. 6. In the result, appeal of the assessee is allowed for statistical purposes. Order pronounced in the open court on this 28/06/ 2017. Sd/- Sd/- (N. S. SAINI) (PAVAN KUMAR GADALE) ऱेखा सदस्य / ACCOUNTANT MEMBER न्यानयक सदस्य / JUDICIAL MEMBER कटक Cuttack; ददनांक Dated 28/06/2017 प्र.कु.मि/PKM, Senior Private Secretary आदेश की प्रनिलऱपप अग्रेपषि/Copy of the Order forwarded to : अपीलाथी / The Appellant- B&A Packaging India Limited, 1. (formerly B&A Multiwall Packaging Limited) C/o Mr. Shyam Sundar Patri, Chartered Accountant, 1185/1186, Tankapani Road, Bhubaneswar-751018 2. प्रत्यथी / The Respondent-DCIT, Circle-1(1), Bhubaneswar 3. आयकर आयुक्त(अपील) / The CIT(A), आयकर आयुक्त / CIT 4. विभागीय प्रविविवि, आयकर अपीलीय अविकरण, कटक / DR, ITAT, Cuttack 5. गार्ा पाईऱ / Guard file. 6. सत्यापऩत प्रनत //True Copy// आदेशािुसार/ BY ORDER,

(Senior Private Secretary) आयकर अपीऱीय अधिकरण, कटक / ITAT, Cuttack