WHISTLING WOODS INTERNATIONAL LTD,MUMBAI vs. ITO 9(3)(4), MUMBAI

First, we shall take up the appeal for Assessment year 2005-06 (ITA No.2348/Mum/2013). During hearing, the ld. counsel for the assessee, Shri Rahul Hakani, contended that the Ld. Commissioner of Income Tax (Appeal) has not adjudicated ground no.3, though raised before him. The assessee has also filed additional evidence for admission. The ld. DR, Shri S.K. Bepari, strongly objected the admission of additional evidence as the same was very much available with the assessee during assessment stage as well as first appellate stage and was deliberately not produced before the authorities. On questioning from the bench with respect to availability of the additional evidence with the assessee, it was fairly agreed by the ld. counsel that the additional evidence was very much available with the assessee well before assessment stage. Considering the totality of facts and the factual matrix that the additional evidence intended to be preferred now was very much available with the assessee well before the assessment proceedings and was deliberately not filed before the revenue authorities. It is also noted that the matter at early stage traveled to the Tribunal and broadly the issues were decided against the assessee. No plausible reasoning was explained by the assessee. It is merely a technique of the assessee to delay the proceedings, therefore, in the absence of any cogent reason of admission, at this stage, the additional evidence, is not admitted.

2.1. So far as, ground no. 3 (raised before Ld. Commissioner of Income Tax (Appeal) treating the interest of Rs.19,08,724/- as income from other sources is concerned, since the same inadvertently remained to be adjudicated by the ld. First Appellate Authority, therefore, the same is remanded back to the file of the Commissioner of Income Tax (Appeal) to decide afresh in accordance with law. The assessee be given opportunity of being heard with further liberty to furnish evidence, if any, in support of its claim. Thus, this ground of the assessee is allowed for statistical purposes only.

Now, we shall take up the appeal for Assessment argument is that ground no. 2, raised before the Ld. Commissioner of Income Tax (Appeal) was not adjudicated by him. Considering the totality of facts, the Commissioner of Income Tax (Appeal) is directed to adjudicate ground no.2 in accordance with law, for which the assessee be given opportunity. The assessee is free to substantiate its claim with documentary evidence, if any, thus, this ground is allowed for statistical purposes.