2019 (9) TMI 1171 - AT - Income Tax

Assessee's Appeal Dismissed for Lack of Evidence: Expenses Disallowed, Tribunal Decision Upheld

Shri K. Poongavanam Versus The ACIT, Circle – 1, Vellore.

Shri K. Poongavanam Versus The ACIT, Circle – 1, Vellore. - TMI Issues:1. Delay in filing the appeal.2. Disallowance of certain expenses by the Assessing Officer.3. Lack of supporting evidence by the assessee.4. Request for remitting the case back to the Assessing Officer for fresh examination.Issue 1: Delay in filing the appealThe appellant's appeal was delayed by 5 days, attributed to the delay in obtaining the e-challan copy for Tribunal appeal fees. The appellant filed a condonation petition pleading the delay was bona fide. The Tribunal heard both sides and condoned the delay, allowing the appeal to proceed.Issue 2: Disallowance of certain expenses by the Assessing OfficerThe Assessing Officer disallowed certain expenses claimed by the assessee, including amounts debited as 'withheld fine,' deposits with Project Coordinator and TN Police Housing Corporation, and excess material consumption and labor charges. These disallowances resulted in a substantial addition to the assessee's returned income. The CIT(A) upheld the disallowances due to the lack of supporting evidence presented by the assessee.Issue 3: Lack of supporting evidence by the assesseeThroughout the proceedings, the assessee failed to provide any supporting documents, vouchers, or primary materials to substantiate their claims regarding the disputed expenses. This lack of evidence was noted by the Assessing Officer, the CIT(A), and the Tribunal. The absence of any documentation hindered the assessee's case and ultimately led to the dismissal of their appeal.Issue 4: Request for remitting the case back to the Assessing Officer for fresh examinationThe appellant's representative requested the Tribunal to remit the case back to the Assessing Officer for a fresh examination, citing the need to decide the issues based on primary materials. However, the Tribunal found that since the assessee had not produced any evidence before the Assessing Officer, the CIT(A), or the Tribunal, there was no basis to remit the case back for further examination. The Tribunal dismissed the appeal due to the lack of primary material and supporting evidence.In conclusion, the Tribunal dismissed the appeal of the assessee due to their failure to provide any supporting evidence throughout the proceedings. The lack of documentation and vouchers hindered the assessee's case, leading to the disallowance of expenses by the Assessing Officer and the subsequent dismissal of the appeal by the Tribunal.