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222 orders · Page 3 of 5
The Tribunal condoned the delay in filing the appeal due to sufficient cause. It held that the CIT(A) incorrectly dismissed the appeal for non-prosecution without deciding on merits, especially given the COVID-19 circumstances preventing the assessee from furnishing details. The Tribunal restored both appeals to the AO for fresh adjudication.
The Tribunal noted that the assessee had opted for the Direct Tax Vivad Se Vishwas Scheme and had paid the dues. Therefore, the assessee requested to withdraw the appeal.
The Tribunal condoned the delay in filing the appeal due to sufficient cause. It held that the CIT(A) incorrectly dismissed the appeal for non-prosecution without deciding on merits, especially given the COVID-19 circumstances preventing the assessee from furnishing details. The Tribunal restored both appeals to the AO for fresh adjudication.
The Tribunal condoned the delay in filing the appeal and granted the assessee one more opportunity to appear before the CIT(A) and produce documents to substantiate their claims. The order of the CIT(A) was set aside and the issue was remitted.
The Tribunal allowed the withdrawal, dismissing the appeal as withdrawn. This dismissal is conditional, granting the assessee liberty to pursue the appeal again if Form No.4 under the Vivad Se Vishwas Scheme, 2024, is not received.
The Tribunal addressed the grounds raised by the Revenue and the Cross Objection by the assessee. Regarding the exclusion of comparables, the Tribunal found that ICRA Techno Analytics Limited was correctly excluded due to its foreign exchange transactions not meeting the TPO's filter. The assessee's contention regarding the provision for bad and doubtful debts being part of operating cost was upheld, affirming the CIT(A)'s direction to treat it as such. On the issue of negative working capital adjustment, the Tribunal noted that since six comparable companies were directed to be excluded, this ground of appeal became infructuous and was dismissed. In the Cross Objection, the Tribunal found that the disallowance of Rs.2,18,56,257/- (provision for income tax and MAT credit reversal) under Section 40(a) resulted in a double addition, as these amounts were already excluded in the tax computation. The Assessing Officer was directed to start the computation from profit before tax, thereby eliminating the double disallowance. The Tribunal held that the provision for bad and doubtful debts is part of operating cost as it relates to sales already booked. The issue of negative working capital adjustment was dismissed as infructuous due to the exclusion of comparables. The double disallowance of Rs.2,18,56,257/- was directed to be deleted.
The Tribunal held that the unrecoverable advance, written off as a trade loss, is eligible for deduction under Section 28 of the Income Tax Act. The Tribunal found that the CIT(A) had correctly applied established legal principles in allowing the alternate plea.
The Tribunal decided the issues as follows: On Ground No. 5, the Tribunal noted the DRP's direction to treat foreign exchange losses of Rs.1,73,69,171 as non-operating. The revenue agreed with this exclusion. Therefore, the Tribunal directed the AO to follow the DRP's direction and compute the margin correctly, allowing Ground No. 5. On Ground No. 4, the Tribunal, respectfully following the decision of the Bombay High Court in CIT vs. Firestone International (P.) Ltd., held that the adjustment should be restricted to the extent of international transactions with AEs and not applied to total purchases. Accordingly, the Tribunal directed the AO to restrict any addition to the extent of international transactions only, allowing Ground No. 4. On Ground No. 3, the judgment does not explicitly record a decision on whether ALP Aeroflix India Pvt. Ltd. was functionally comparable or not, but the DRP had rejected the assessee's objection. On Ground No. 6, the Tribunal held that there is no provision under Section 115JB to include or enhance book profit by an ALP adjustment. Therefore, the AO was directed to delete the ALP adjustment from the computation of book profit and allow the book loss of Rs.2,38,99,840. Ground No. 6 was allowed. Grounds 1, 2, and 7 were dismissed as general or not pressed.
The Tribunal held that income from the transfer of assets received as a gift from a spouse is chargeable to tax in the hands of the donor (husband), not the donee (assessee). Therefore, the capital gains were not taxable in the hands of the assessee.
The Tribunal held that if working capital adjustment is granted, the interest on overdue receivables adjustment would subsume. It also ruled that reimbursement of ESOP expenses on a cost-to-cost basis does not attract withholding tax provisions. The issue of interest on CCDs was restored to the AO for substantiation.
The Tribunal held that the CIT(A) is mandated to adjudicate the grounds of appeal on merits and cannot dismiss the appeal for non-prosecution without proper service of notice. The order of the CIT(A) was set aside for denovo adjudication.
The Tribunal held that the transfer of land for development under a JDA does not constitute a transfer for the purpose of capital gains tax in the year of the agreement. Capital gains are taxable only upon the actual receipt of the constructed property or its sale.
The Tribunal held that the Commissioner erred in rejecting the application without providing a hearing to the assessee. The mistake in mentioning the section code was inadvertent and should have been considered with due process.
The Tribunal held that while the CIT(A) rightly dismissed the appeal for non-maintainability due to non-payment of advance tax, the assessee subsequently paid the tax. Therefore, the appeal should be adjudicated on its merits by the CIT(A).
The Tribunal held that for unabated assessment years, additions under section 153A can only be made if there is incriminating material found during the search. Since no such material was found to link the cash payment to unaccounted income, the addition was deleted.
The Tribunal held that while the CIT(A) rightly dismissed the appeal for non-maintainability due to non-payment of advance tax, the assessee subsequently paid the tax. Therefore, the appeal should be adjudicated on its merits by the CIT(A).
The Tribunal held that the Commissioner's order dismissing the appeal was cryptic and lacked proper reasoning. The Tribunal decided to remand the case back to the Commissioner for a fresh decision after affording the Assessee a reasonable opportunity to be heard.
The Tribunal held that the assessee merely gave permissive possession of the land under the JDA, which does not constitute a transfer under Section 2(47)(v) of the Income Tax Act. Therefore, capital gains cannot be taxed in the year of the JDA.
The Tribunal held that there cannot be a straight-jacket formula to determine yield and average government data cannot be the sole basis for disallowing claims. However, since the assessee failed to substantiate their claim despite opportunities, the case was remanded.
The Tribunal condoned the delay in filing the appeal, acknowledging the genuine hardship due to the managing partner's illness. The order of the CIT(A) was set aside as it was passed without properly disposing of the grounds of appeal.
The Tribunal noted that the Direct Tax Vivad se Vishwas Scheme, 2024, is being utilized to resolve the tax dispute. Considering the ongoing settlement process, the appeal was dismissed as it would serve no purpose to keep it pending.
The Tribunal held that the adjustments concerning transfer pricing matters did not survive in view of the APAs. The AO was directed to delete the addition of Rs.53,40,15,927/- after verifying the APAs and modified returns. Ground No. 6 regarding advance tax credit was also allowed after verification of the challan.
The Tribunal held that for unabated assessment years, additions under section 153A can only be made if there is incriminating material found during the search. Since no such material was found to link the cash payment to unaccounted income, the addition was deleted.
The Tribunal held that the LIC investment was ₹10,61,161 and not ₹13,29,245. It further held that the investment was explained by the loan received back from the brother, and the onus was on the revenue to disprove the claim, which they failed to do.
The Tribunal held that the AO did not afford the assessee an opportunity to justify the genuineness of the expenses, violating the principles of natural justice. Therefore, the disallowance made by the AO and confirmed by the CIT(A) was not sustainable.
The Tribunal condoned the delay, acknowledging the assessee's age and circumstances, and the bonafide reasons presented. Considering the assessment order and the CIT(A)'s order were ex-parte and not on merit, the Tribunal remanded the case to the AO for fresh adjudication.
The Tribunal decided to remand the case back to the Ld. Commissioner for a fresh decision, subject to the Assessee depositing Rs. 11,000/- and complying with future notices.
The Tribunal remanded the case back to the Ld. Commissioner for a fresh decision, emphasizing that the assessee must be given a reasonable opportunity of being heard and must comply with future notices and submissions.
The Tribunal held that the Commissioner erred in rejecting the application without providing a hearing to the assessee. The mistake in mentioning the section code was inadvertent and should have been considered with due process.
The Tribunal condoned the delay of 448 days in filing the appeal, subject to the assessee depositing Rs. 11,000/-. The matter was remanded back to the Assessing Officer for fresh adjudication on merits, with a further condition that the assessee deposits Rs. 5,500/-.
The Tribunal noted that the assessee had not fully complied during assessment proceedings but also acknowledged the ex-parte nature of the order. The Tribunal decided to give the assessee one more opportunity to present their case, subject to a deposit of Rs. 5,500/-, and directed the AO to re-adjudicate the issue.
The Tribunal held that while the Assessee failed to substantiate its claim before the lower authorities and did not deserve leniency, the issue needed proper adjudication. Therefore, the case was remanded for fresh consideration.
The Tribunal held that while the AO may not entertain claims made without a revised return, appellate authorities like the CIT(A) and ITAT have the jurisdiction to consider additional claims even if not included in the original or revised return.
The Tribunal noted that the assessee had filed additional evidence before the CIT(A) which was not considered. The Tribunal also observed that for the current assessment years, the AO also did not consider the additional documents. Therefore, the Tribunal set aside the issue to the file of the AO for fresh adjudication.
The Tribunal condoned the delay of 426 days, finding the assessee's reasons to be bonafide. However, due to the assessee's failure to comply with procedural requirements and the need for proper adjudication, the case was remanded to the Commissioner (Appeals) for a fresh decision.
The Tribunal noted that while the Assessee filed submissions, they might not have been properly examined. Therefore, the Tribunal decided to remand the case back to the Ld. Commissioner for a fresh decision, ensuring the Assessee is given a reasonable opportunity to be heard.
The Tribunal held that an assessee cannot be denied registration merely for collecting fees from students, especially when there's no allegation of misuse. The Tribunal restored the issue to the CIT for fresh adjudication, directing the assessee to furnish necessary documents.
The Tribunal condoned the delay of 532 days after considering the medical documents provided by the assessee. The case was remanded to the Assessing Officer for a fresh decision after the assessee deposited a token cost of Rs. 500 and filed necessary submissions.
The Tribunal held that affidavits, supported by circumstantial evidence and a consistent explanation, can be considered as evidence, especially given the significant time gap since the expenditure. The Tribunal set aside the CIT(A)'s finding and directed the AO to allow the cost of improvement.
The Tribunal set aside the order and restored the matter to the file of the CIT(A) for fresh adjudication. A reasonable opportunity was granted to the assessee to present its case, and it was advised to cooperate and avoid unnecessary adjournments.
The Tribunal held that the addition could not be made based solely on the retracted statement of the manager and the seized documents without corroborative evidence. The absence of evidence during the search at the assessee's premises further weakened the revenue's claim.
The Tribunal held that the disallowance of expenses under Section 37, which increased the eligible business income, should be allowed for deduction under Section 80-IA. They relied on the principles of the CBDT circular and a Karnataka High Court judgment.
The Tribunal noted the discrepancy in the email address and that the assessment order was ex-parte. Considering the peculiar facts and for equitable relief and substantial justice, the case was remanded to the AO for a fresh decision.
The Tribunal noted that the issue of whether the society's dealing with different classes of members, particularly associate members, affects its eligibility for deduction under Section 80P(2)(a)(i) is crucial. Following a previous decision, the Tribunal decided to restore the issue to the AO for fresh examination.
The Tribunal held that the addition of Rs. 11.60 Crores on account of alleged cash loans to the Mishra Group was not sustainable. The primary reasoning was the absence of the assessee's signature or authentication on the seized documents from Shri Giridhar Laddha's premises. The Tribunal noted that the assessee had consistently denied providing cash loans of Rs. 11.60 Crores, although he admitted to providing Rs. 5 Crores in cash. The Tribunal found it significant that no evidence of such cash investments was found during the search of the assessee's own premises. Furthermore, the Tribunal considered the fact that the assessee had obtained a bank loan for his investment through banking channels, questioning why he would then make unaccounted cash investments without security. The retraction of Shri Giridhar Laddha's statement was also a crucial factor. The Tribunal relied on the principle that additions cannot be made in the hands of a third party solely based on entries in seized material without further corroborative evidence. The addition made by the Assessing Officer was deleted.
The Tribunal observed that the issue remained to be adjudicated properly. While the assessee's contention was unconvincing, due to significant gaps in hearings and the inability of the assessee to represent its case, the Tribunal decided to remand the issue back to the Ld. Commissioner for a fresh decision.
The Tribunal held that when an assessment order is set aside by the PCIT under section 264 without any direction for fresh assessment, it implies the order is quashed. Therefore, the AO acted without jurisdiction in initiating fresh proceedings, and the assessee's ground is allowed.
The Tribunal held that the assessment order was ex-parte and allowed the assessee to raise additional grounds, including challenges to the notice and sanction. The case was remanded to the AO for a fresh decision, with directions for the assessee to comply with notices and provide submissions.
The Tribunal held that the disallowance of expenses under Section 37, which increased the eligible business income, should be allowed for deduction under Section 80-IA. They relied on the principles of the CBDT circular and a Karnataka High Court judgment.
The Tribunal condoned the delay, acknowledging the genuine and bonafide reasons presented by the assessee. The Tribunal further decided to remand the case to the Commissioner for a fresh decision, allowing the assessee a reasonable opportunity to be heard.