2013 (7) TMI 312

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....ncome Tax Act, 1961 on the basis that there was no reason and justification to take the filing the main appeal. 2. Your petitioner state that as per Original Appeal filed in Form No 35. which was well within the time, one of the grounds vide Item No 6 clearly read "Your Petitioner craves leave to add, alter, amend and/or withdraw any or all the above grounds of appeal. 3. Your Petitioner states that in view of the above, the additional grounds of appeal should have been admitted by the learned CIT (Appeals). 4. Your Petitioner states that, the additional grounds of appeal can be introduced any time, even during the course of hearing. 5. Your Petitioner states that no new or additional evidence was furnished other than that which....

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....utilized for professional activities. The AO, therefore, computed the disallowance of Rs. 4,61,869/- as per the prescription of Rule 8D, for the purpose of section 14A.   4. Certain other additions were also made, against which, the assessee filed appeal before the CIT(A). 5. During the pendency of appeal before the CIT(A), the assessee filed additional grounds of appeal against the disallowance u/s 14A. 6. Since the ground was not in the original memorandum of appeal, the CIT(A) sought comments of the AO. The AO, in response to the remand proceedings submitted that additional ground filed amounts to delay in filing of appeal and which can be accepted if delay is condoned. The AO also filed comments on the merits of the cas....

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....eld, "An assessee is entitled to raise not merely additional legal submissions before the appellate authorities but is also entitled to raise additional claims before them. The appellate authorities have the discretion to permit such additional claims to be raised. The appellate authorities have jurisdiction to deal not merely with additional grounds, which became available on account of change of circumstances or law, but with additional grounds which were available when the return was filed. The words "could not have been raised" must be construed liberally and not strictly. There may be several factors justifying the raising of a new plea in an appeal and each case must be considered on its own facts". 12. The AR, therefore, submit....