TaxTMI 
TaxTMI 
2017 (12) TMI 566
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....2. Appellant, M/s. Hans Ispat Limited (hereinafter referred to as 'the assessee'), by filing the present appeals sought to set aside the impugned order dated 19.03.2013 passed by the Commissioner of Income-tax (Appeals)-1, New Delhi, for the Assessment Years 2007-08, 2008-09, 2009-10 & 2010-11 on the grounds inter alia that :- "ASSESSMENT YEAR : 2007-08 1. That the learned CIT(A) has erred in law and facts by not quashing the order passed by the learned AO and therefore the learned AO should be directed to accept the returned Income. 2. That the learned CIT(A) has erred in law and facts by confirming the disallowance of other expenses of Rs. 25,99,106/- (correct amount as per order of ld. CIT(A) is Rs. 36,68,196/-) (being 10% of ex....
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....any expenses, while computing the total income. 3. That Book Profit u/s.115JB of the Act, as per our return or Income is to be considered for taxation purpose." "ASSESSMENT YEAR : 2010-11 1. That the learned CIT(A) has erred in law and facts by not quashing the order passed by the learned AO and therefore the learned AO should be directed to accept the returned Income. 2. That the learned CIT(A) has erred in law and facts by confirming the disallowance of other expenses of Rs. 12,34,523/- (correct amount as per order of ld. CIT(A) is Rs. 60,34,991/-) (being 10% of expenses of Rs. 4,32,46,630/-) and therefore the learned AO should be directed to not to disallow any expenses, while computing the total incom....
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....Y 2008-09), ITA NO.3644/DEL/2014 (AY 2009-10) & AND ITA NO.3645/DEL/2014 (AY 2010-11) 6. From the grounds of appeal, arguments addressed by ld. Authorized Representatives of the parties to the appeal and facts & circumstances of the case, the sole question arises for determination in this case is :- "as to whether the ld. CIT (A) has erred in sustaining the disallowance of expenses to the tune of Rs. 36,68,196/-, Rs. 38,40,890/-, Rs. 39,06,640/- & Rs. 60,34,991/- in Assessment Years 2007-08, 2008-09, 2009-10 & 2010-11 respectively merely on the basis of guess work and estimation as contended by assessee? 7. Undisputedly, the AO has proceeded to make disallowance @ 10% of the indirect expenses and ld. CIT (A) without dis....
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.... Donation Expenses 61800 61800 Exchange Rate Gain / Loss 615500 0 Legal & Professional Expenses 787826 0 Misc Expenses 111028 111028 Office Expenses 159697 159697 Postage and Courier Charges 175469 0 Printing & Stationery Expenses 495790 0 Rent Rates & Taxes 484500 0 Repairs & Maintenance - Others 96762 96762 Service Tax 1007290 1007290 Telephone Expenses 1067032 1067032 Travelling Expenses 1170195 1170195 Travelling Expenses - Sales Team 640616 0 Vehicle Running & 1734702 1734702....
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....ighlighted expenses disallowed by the AO and sustained by the ld. CIT (A) goes to prove that apparently, the same cannot be treated as business expenses without perusing the exact nature and detail of the expenses. Ld. CIT (A) has merely sustained the addition on the basis of estimation without calling upon the detail as to the nature thereof and without providing an opportunity of being heard to the AO. So, in these circumstances, the question framed is answered in favour of the assessee and this issue is remanded to the file of the ld. CIT (A) to decide afresh by providing an opportunity of being heard to the assessee. Grounds No.1 & 2 of all the appeals are determined in favour of the assessee for statistical purposes. GROUND NO.3 OF ....