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Income Tax Appellate Tribunal, “C ” BENCH: KOLKATA
Before: Shri Mahavir Singh, JM & Shri M. Balaganesh, AM]
ORDER
Per Shri Mahavir Singh, JM:
This appeal by revenue is arising out of order of CIT(A)-I, Kolkata vide Appeal No. 331/CIT(A)-1/Wd-2(3)/08-09 dated 07.06.2010. Assessment was framed by DCIT, CC- XVIII/Kolkata u/s. 144 of the Income-tax Act, 1961 (hereinafter referred to as “the Act”) for Assessment Year 1999-00 vide his order dated 26.03.2002.
The only issue in this appeal of revenue is against the order of Cit(A) in directing the AO to allow benefit of carry forward loss claimed by assessee as genuine and according to revenue the same was never examined at the stage of assessment. For this, revenue has raised following ground no.3:
3. That on the facts and circumstances of the case the Ld. CIT(A) has erred in directing the AO to allow benefits of carry forward of loss claimed by the assessee genuineness of which was never examined either at assessment stage or appellate stage.”
Briefly stated facts are that the assessee filed its return of income on 30.12.1999 declaring total loss of Rs.99,42,981/-. The AO framed assessment u/s. 144 of the Act disallowing the claim of loss as the assessee could not produce any evidence before the AO including the books of account. Aggrieved, assessee preferred appeal before CIT(A), who allowed the claim of the assessee by observing that the loss claimed is on account of expenses which are genuine. Aggrieved, now revenue is in second appeal before tribunal.
We have heard rival submissions and gone through facts and circumstances of the case. We find that this issue was not examined at the level of the AO or CIT(A) in respect to genuineness of expenditure. Even the assessee has not produced the books of account before the AO or any other details in respect to these expenses. In such circumstances, we are of the view that let the issue be examined afresh at the level of AO to decide the claim of loss to be carried