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of <h1>Revenue appeal allowed due to lack of evidence, case remanded for fresh decision.</h1> <h3>Assistant Commissioner of Income-tax, Circle-6, Surat Versus M/s. Panchsheel Intermediates</h3> Assistant Commissioner of Income-tax, Circle-6, Surat Versus M/s. Panchsheel Intermediates - TMI Issues involved: Appeal by Revenue against deletion of commission disallowances by AO.Ground 1 - Commission Disallowance: The assessee, a manufacturer, claimed deduction of commission in the current year, which was higher than the previous year. The AO disallowed the claim due to lack of evidence of services rendered by recipients and abnormal increase in commission. The CIT(A) allowed the claim stating that expenditure was for business purpose and not necessarily for profit. The Revenue appealed, arguing lack of confirmations and evidence of services rendered.Ground 1 Decision: The ITAT found that the assessee failed to provide confirmations and evidence of services rendered by most commission recipients. It was emphasized that payments must be for services rendered to be deductible. The CIT(A) did not assess whether services were actually provided, leading to the decision to set aside the order and remand for a fresh decision with proper examination of services rendered by each recipient.Ground 2 and 3: These grounds were dismissed as they were general prayers without specific adjudication required.Conclusion: The appeal was allowed for statistical purposes, with the order pronounced on 11-10-2010.
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