Appeal dismissed due to lack of evidence in business loss claim for specialized glass supply.

The Income Tax Appellate Tribunal upheld the disallowance of a business loss claimed by the appellant for Assessment Year 2015-16. The appellant failed to provide sufficient evidence to establish the genuineness of the transaction involving specialized glass supply for the avionics industry. The Tribunal found discrepancies in the timing of the forfeiture notice and write-off, as well as raised concerns about the appellant's equity in the company and common directors. The argument regarding service tax on the forfeited amount was deemed irrelevant. Consequently, the Tribunal's decision was affirmed, and the appeal was dismissed.

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Issues involved:
The judgment concerns an appeal related to Assessment Year 2015-16 where the appellant challenges the disallowance of a business loss by the Income Tax Appellate Tribunal.

Details of the Judgment:
The appellant entered into an agreement with a company for supplying specialized glass used in the avionics industry. The company found defects in the product, forfeited the security deposit, and added an amount to the appellant's income. The appellant failed to produce the original agreement before the authorities. The Tribunal upheld the disallowance of the loss, stating that no genuine material was produced to establish the transaction. The forfeiture notice was issued after the discovery of defects, and the write-off was done much later. The appellant's equity in the company and common directors raised concerns. The argument about paying service tax on the forfeited amount was not considered relevant to the genuineness of the agreement. The Tribunal's decision was upheld, and the appeal was disposed of accordingly.

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