ITAT Ranchi Judgments — February 2025

The Tribunal held that the trade discount was a legitimate business practice, verified by the supplier, and had not been disproven by the revenue. The addition made by the Assessing Officer was deemed arbitrary and excessive.

The assessee applied for settlement of the tax dispute under the Direct VSV Scheme. The Tribunal, agreeing with the revenue's counsel, found no purpose in keeping the appeals pending and treated them as dismissed as withdrawn.

The Tribunal noted that the assessment order was passed under Section 147 read with Sections 144 and 144B of the Income Tax Act, 1961. It was also observed that the NFAC/CIT(A)'s order was ex-parte due to non-compliance by the assessee. However, considering the principles of natural justice, the Tribunal decided to grant one final opportunity to the assessee.