Tribunal directs AO to verify income and deductions, appellant to submit documents within 30 days

The Tribunal allowed the appeal for statistical purposes, directing the AO to verify the appellant's claims regarding the addition of Rs. 19,02,500/- to income and the deduction of Rs. 5,00,000/- under Section 80G. The appellant must submit the necessary documents within 30 days for verification, and relief will be provided accordingly by the AO.

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Issues Involved:
1. Addition of Rs. 19,02,500/- to the income based on Form No. 26AS.
2. Disallowance of deduction of Rs. 5,00,000/- under Section 80G of the IT Act, 1961 for donation to the CM Relief Fund.

Detailed Analysis:

Issue 1: Addition of Rs. 19,02,500/- to the Income Based on Form No. 26AS

The appellant, an association of persons (AOP) representing builders and promoters, organized an EXPO on 21.04.2016. Some participants booked stalls in March 2017 and made payments, which appeared in Form 26AS for the financial year 2016-17. However, the appellant claimed that this income was actually offered to tax in the subsequent financial year 2017-18, following the matching concept as per accounting standards. The appellant provided financial statements for FY 2017-18 to support this claim, but the CIT(A) noted that these documents were not found on the ITBA portal, making verification impossible. Consequently, the CIT(A) upheld the addition of Rs. 19,02,500/- made by the AO.

Issue 2: Disallowance of Deduction of Rs. 5,00,000/- Under Section 80G

The appellant claimed a deduction of Rs. 5,00,000/- under Section 80G for a donation to the CM Relief Fund. The AO disallowed this deduction due to the non-production of the donation receipt on the ITBA portal. During the appellate proceedings, the appellant asserted that the receipt was indeed uploaded, but the CIT(A) found no such attachment and sustained the AO's disallowance.

Tribunal's Observations and Directions:

The Tribunal noted that the CIT(A) did not provide an adequate opportunity for the appellant to present the necessary documents. The Tribunal directed the AO to verify the appellant's claims regarding the income of Rs. 19,02,500/- being offered in the subsequent year. If verified, the AO should delete the addition for the year under consideration.

Regarding the donation to the CM Relief Fund, the Tribunal instructed the appellant to submit the proof of donation to the AO. The AO is then directed to verify the receipt and allow the deduction under Section 80G if the claim is found to be valid.

Conclusion:

The Tribunal allowed the appeal for statistical purposes, directing the AO to verify the appellant's claims regarding both the addition of Rs. 19,02,500/- and the deduction of Rs. 5,00,000/-. The appellant is required to submit the necessary documents within 30 days, and the AO is to provide the consequent relief after verification.

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