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522 orders · Page 3 of 11
In the interest of natural justice, the Tribunal set aside the impugned order of the Ld. CIT(A) and restored all issues for fresh adjudication, granting the assessee another opportunity to present its case. This opportunity is conditional upon the assessee paying a cost of Rs. 2,000/- to the Income Tax Department within two months and cooperating with the Ld. CIT(A).
The Tribunal condoned the delay of 259 days in filing the appeal, considering the miscommunication as unintentional and bonafide. Due to the ex-parte nature of the assessment order, the Tribunal remanded the case back to the Assessing Officer for a fresh decision on merits.
The CIT(A) dismissed the assessee's appeal without condoning a delay of 1321 days, finding no 'sufficient cause' for the delay. The Tribunal, while noting the assessee's non-compliance and lack of documentary evidence, decided to grant one more opportunity in the interest of justice.
The Tribunal noted that the Assessee's stated objects were not primarily religious. It directed the Ld. Commissioner to re-examine the application, taking into account CBDT Circular No. 11/2022 regarding the nature of the registration form and providing the Assessee a reasonable opportunity to substantiate its expenditure claims with evidence, such as photographs of food distribution.
The CIT(A) held that since the sales were accepted, the entire purchases could not be disallowed, and only a reasonable profit percentage should be added. The Tribunal, relying on similar High Court rulings, found no reason to interfere with the CIT(A)'s findings.
The Tribunal noted that while the assessee provided some documentation, specific evidence showing how and where the consultancy was provided and its application to specific projects was lacking. The lower authorities confirmed the disallowance, stating that an affidavit alone is not sufficient evidence. The Tribunal found it appropriate to set aside the CIT(A)'s finding.
The Tribunal held that income exempt under Section 10 cannot be brought to tax under Section 11, following the decision of the Jurisdictional High Court. The matter was remanded to the AO for verifying the claim regarding tax deducted at source.
The Tribunal held that once the assessee has declared a substantial net profit from business, a part of the gross receipts cannot be added as income from undisclosed sources under section 68. The AO's addition was considered arbitrary and unsustainable as it treated declared business receipts as unexplained income.
The assessee's counsel informed the tribunal that the assessee wished to withdraw the appeal as it was a duplicate. The tribunal accepted this and decided to dismiss the appeal.
The Tribunal noted that the NCLT order prohibits any suits or proceedings against the corporate debtor. Consequently, considering the NCLT's directive, the appeals filed by both the Revenue Department and the Assessee are dismissed.
The Tribunal held that income exempt under Section 10 cannot be brought to tax under Section 11, following the decision of the Jurisdictional High Court. The matter was remanded to the AO for verifying the claim regarding tax deducted at source.
The Tribunal observed that the assessee had been non-compliant throughout the appellate proceedings and had failed to provide documentary evidence. In the interest of justice, the Tribunal granted one more opportunity to the assessee to present its case before the First Appellate Authority.
The Tribunal noted that the assessee had explained the genuineness of the transactions of loan creditors but the issue of their creditworthiness was in question. The Tribunal found that the CIT(A) had passed an order without considering the submissions made by the assessee, thus violating principles of natural justice. Therefore, the matter was remanded back to the CIT(A) for fresh adjudication.
The CIT(A) allowed part relief, holding that the disallowance of expenses and interest were not due to intentional concealment. However, the penalty to the extent of the unexplained cash credit of Rs. 20,000 was upheld.
The Tribunal found that the CIT(A) had not properly considered the assessee's submissions on both legal grounds and merits, partly due to non-compliance and partly because the submissions were ignored. Consequently, the Tribunal set aside the CIT(A)'s findings and restored the matters for fresh adjudication.
The Tribunal directed the TPO to consider only the LIBOR rate for notional interest and allowed property tax deduction. It also allowed depreciation and dismissed the addition under Section 50C, finding the AO's action correct in that regard.
The Tribunal held that the fiction created by Section 50 is restricted to the computation of capital gains under Sections 48 and 49 and does not alter the character of a long-term capital asset for other provisions like Section 54EC. Therefore, the assessee is eligible for the exemption under Section 54EC.
The Tribunal noted that the assessee failed to provide satisfactory explanation regarding the nature and source of the cash deposits. Despite opportunities, the assessee did not appear or provide submissions to substantiate its claim. The registration certificate was also found to be backdated, indicating a lack of bona fide.
The Tribunal held that simply because the property was jointly owned and capital gains were shared, it cannot be the sole reason to disallow the entire TDS credit to the assessee, especially when the wife has not claimed the TDS.
The Tribunal held that the Assessing Officer (AO) did not adequately inquire into the NSEL commodity trading issue, particularly the Client Code Modification (CCM) and its impact. The AO accepted the assessee's returned loss without substantiating the conclusion, and the assessee failed to provide sufficient evidence to prove it was not a beneficiary of the NSEL scam. Therefore, the PCIT's order was found to be correct.
The Tribunal noted that the assessee had affirmed non-receipt of communications and sought an opportunity to make necessary compliances. Relying on judicial precedents regarding the proper service of notice and principles of natural justice, the Tribunal found it appropriate to grant one more opportunity.
The Tribunal held that income exempt under Section 10 cannot be brought to tax under Section 11, following the decision of the Jurisdictional High Court. The matter was remanded to the AO for verifying the claim regarding tax deducted at source.
The Tribunal noted that the re-assessment proceedings were flawed due to double addition and lack of application of mind by the AO and CIT(A). The Tribunal found that the additions pertained to earlier years and were not fresh credits for the current year.
The Tribunal held that the penalty could not be levied as the quantum proceedings were still pending before the CIT(A) for eight years. It further noted that even in an ex-parte order, entire purchases could not be treated as bogus when corresponding sales are accepted, and thus, it was premature to confirm the penalty. Consequently, the penalty levied by the AO was deleted.
The Tribunal noted that the assessee had affirmed non-receipt of communications and sought an opportunity to make necessary compliances. Relying on judicial precedents regarding the proper service of notice and principles of natural justice, the Tribunal found it appropriate to grant one more opportunity.
The Tribunal held that the Ld. CIT(A) had not considered the submissions of the assessee on both legal grounds challenging the validity of reassessment and grounds on merit. The Tribunal noted that the Ld. CIT(A) in his order concluded that in the absence of submissions, he had no option but to proceed based on available documentary evidence. However, the records before the Tribunal indicated that the assessee's submissions on legal and merit grounds were not considered, partly due to non-compliance by the assessee and partly due to the submissions being ignored. Therefore, the Tribunal found it appropriate to set aside the findings of the Ld. CIT(A) on the disputed issues and restore the matter back to him for deciding afresh after taking into consideration the assessee's submissions. Consequently, Ground No. 1 of the assessee's appeal was allowed. The other grounds challenging the validity of reassessment and the merits of the addition were left open and not adjudicated. The appeals were allowed for statistical purposes.
The assessee's appeal was dismissed by the CIT(A) for non-compliance. The Tribunal found that the CIT(A) did not pass a reasoned order on merit as prescribed. The Tribunal restored the case to the CIT(A) for a decision on merit after granting three more opportunities to the assessee.
The Tribunal held that the interest paid by the assessee was a reimbursement for funds utilized towards group entities' borrowing facilities, not income. Therefore, the assessee was not obligated to deduct TDS under Section 194A.
The Tribunal held that the interest of justice would be met if the dispute is decided on merits after providing a fair opportunity of hearing to the assessee. To achieve this, the matter was restored back to the file of the Assessing Officer (AO) to decide the matter afresh, ensuring proper and sufficient opportunity for the assessee.
The Tribunal held that interest paid on loans between group entities, when it represents a pure reimbursement of interest paid to external lenders without any markup, is not in the nature of income for the recipient. Therefore, no TDS was required to be deducted on such payments.
The Tribunal held that the assessee provided a clear explanation that the unaccounted money was from business. Since the AO failed to contradict this or identify any other source, Section 69A was not applicable. The action of the lower appellate authority was upheld.
The tribunal acknowledged the peculiar circumstances, including the COVID-19 pandemic, and found the reason for non-representation to be a probable cause. Therefore, the tribunal decided to set aside the impugned order.
The Tribunal held that the CIT(A) correctly deleted the addition as the transaction was established as a genuine loan between the parties, even if the business expediency was disputed in the case of the other party. The grounds challenging the validity of reassessment were rendered academic.
The Tribunal confirmed the CIT(A)'s order, stating that the revenue failed to prove deliberate concealment or furnishing of inaccurate particulars. The Tribunal followed previous ITAT decisions in the assessee's own case, which held that penalty cannot be levied on debatable issues.
The Tribunal held that tax is deductible at source only on payments that include an element of income. Since the interest paid between group entities was considered a reimbursement without any markup, it did not partake the nature of income for the recipient, and thus, TDS was not applicable.
The Tribunal held that if a provision for doubtful debts is debited to the profit and loss account and simultaneously reduced from the debtors' account in the balance sheet, it amounts to a write-off. Therefore, the assessee is eligible for the deduction.
The Tribunal found the assessee's explanation for non-appearance before the Ld. Commissioner, citing the Covid-19 pandemic, to be bonafide and genuine. Therefore, the Tribunal set aside the impugned order.
The Tribunal held that the ex-parte order passed by the CIT(A) violated the principles of natural justice. Since the last date of hearing was not received by the assessee, the matter was remitted back to the CIT(A) for a fresh decision after providing an opportunity of hearing.
The Tribunal held that the ex-parte order passed by the CIT(A) violated the principles of natural justice. Since the last date of hearing was not received by the assessee, the matter was remitted back to the CIT(A) for a fresh decision after providing an opportunity of hearing.
The Tribunal held that the ex-parte order passed by the CIT(A) violated the principles of natural justice. Since the last date of hearing was not received by the assessee, the matter was remitted back to the CIT(A) for a fresh decision after providing an opportunity of hearing.
The Tribunal held that the impugned order of the learned CIT(E) rejecting the application for registration under Section 12AB of the Act should be set aside. The Tribunal found merit in the assessee's submission that the notices issued by the CIT(E) were only uploaded on the Income Tax Portal and not received by the assessee, leading to a failure to furnish the requested documents in time. Consequently, the Tribunal restored the application to the file of the learned CIT(E) for de novo adjudication after providing a reasonable opportunity of hearing. The assessee was directed to furnish all sought information. Similarly, as the issue of Section 12AA registration was remanded, the rejection of the Section 80G application was also set aside and restored to the CIT(E) for fresh consideration. The grounds raised by the assessee were allowed for statistical purposes.
The Tribunal condoned the nine-day delay in filing one of the appeals, noting the explanation of incorrect email communication. Both appeals were restored to the file of the Ld. CIT(E) for fresh adjudication.
The Tribunal noted that while the AO might have erred in asking for the 'source of source' given the amendment to Section 68, the initial burden was on the assessee to prove the creditworthiness of the loan. Since the transaction was not verifiable due to lack of documents, the matter was restored to the AO.
The Tribunal acknowledged the Assessee's non-compliance but, considering the peculiar facts and for substantial justice, decided to set aside the impugned order.
The Tribunal condoned the nine-day delay in filing one of the appeals, noting the explanation of incorrect email communication. Both appeals were restored to the file of the Ld. CIT(E) for fresh adjudication.
The Tribunal held that the interest paid by the assessee was a reimbursement for funds utilized towards group entities' borrowing facilities, not income. Therefore, the assessee was not obligated to deduct TDS under Section 194A.
The Tribunal found the reason for the delay to be bonafide and unintentional. For the sake of justice, the delay was condoned subject to the deposit of Rs.5,500/- in the Revenue Department. The impugned order was set aside, and the case was remanded to the Commissioner for a fresh decision.
The Tribunal held that the assessee had made a bonafide claim and had duly reported all facts. The property inherited from the mother was not owned by the assessee at the time of transfer of the original asset. The AO's denial of exemption and levying of penalty under Section 270A(9) was based on an interpretation of law rather than misrepresentation or suppression of facts.
The Tribunal condoned the delay in filing the appeal. It held that interest under Section 201(1A) is not leviable if the TDS shortfall is rectified within the financial year as per Section 192(3). It also held that interest under Section 220(2) is not applicable as no demand notice was issued.
The Tribunal observed that the assessee had not earned any exempt income during the year. It is a settled principle of law that disallowance under Section 14A cannot be made when no exempt income has been earned. The amendment to Section 14A is prospective. Therefore, the addition made by the AO and upheld by the CIT(A) ought to be deleted.