Revenue's appeal against CIT (A) order allowed for statistical purposes, remanding section 80JJAA deduction issue for fresh consideration.

The appeal filed by the revenue against the order passed by Ld. CIT (A)-5, Bangalore for the assessment year 2011-12 was allowed for statistical purposes. The issue concerning the deduction claimed under section 80JJAA was remanded to the Ld.AO for fresh consideration in accordance with the law applicable during the relevant period.

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Issues:
1. Appeal against order passed by Ld. CIT (A)-5, Bangalore for assessment year 2011-12.
2. Disallowance of deduction claimed under section 80JJAA.

Analysis:

Issue 1:
The appeal was filed by the revenue against the order passed by Ld. CIT (A)-5, Bangalore for the assessment year 2011-12. The Ld.AO completed the assessment under section 143 (3) read with section 144C of the Act, determining the total income. Disallowances were made by the Ld.AO pertaining to section 14A and deduction disallowed under section 80JJAA of the Act. The Ld.AO disallowed the deduction under section 80JJAA by holding that the deduction claimed by the assessee in respect of the employment of new workmen during the previous year was not provided for in the provisions. The Ld.AO disallowed the excess deduction claimed in computation amounting to Rs.3,14,48,959.

Issue 2:
The only issue alleged by the revenue was in respect of the deduction allowed under section 80JJAA of the Act by Ld.CIT (A). The Ld.AR placed reliance on the Tribunal order in the assessee's own case for various assessment years. The Tribunal held that once a new workman is employed in the previous year and works for 300 days in that year, additional wages paid to him should be allowed as a deduction at 30% of such additional wages for three assessment years. However, for certain assessment years, the issue was remanded to the Ld.AO for fresh consideration. The Tribunal deemed it fit to restore the issue to the Ld.AO for fresh consideration in accordance with the law applicable during the relevant period. The Ld. CIT DR did not object, and accordingly, the ground raised by the revenue was allowed for statistical purposes.

In conclusion, the appeal filed by the revenue was allowed for statistical purposes, and the issue regarding the deduction claimed under section 80JJAA was remanded to the Ld.AO for fresh consideration in line with the applicable law during the relevant period.

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