ITAT Cuttack Judgments — September 2020

The Tribunal held that the assessee's appeal before the CIT(A) was not maintainable as the assessee had voluntarily agreed to the 56% gross profit rate. The CIT(A) granting relief was therefore set aside.

The Tribunal set aside the orders of the lower authorities and remitted the appeals back to the Assessing Officer. The Assessing Officer was directed to pass a denovo assessment order after providing the assessee with a reasonable opportunity of hearing.

The Tribunal held that the assessee, being an individual with a turnover below the threshold for mandatory audit under Section 44AB in the preceding financial year, was not liable to deduct TDS under Section 194H. Therefore, the Pr.CIT's order was not justified.

The Tribunal condoned the delay in filing the appeal. Considering the principle of natural justice and the ex-parte nature of the lower authorities' orders, the matter was restored to the Assessing Officer for fresh adjudication.