TaxTMI 
TaxTMI 
2020 (7) TMI 14
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....section 40(a)(ia) are to be read alongwith Chapter XVIIB of the Act, as referred to therein, wherein a person to whom the payment having been made, have declared the same in its income, then the provisions of section 40(a)(ia) would not be applicable, the order of the CIT(A) be quashed. 4. Because the CIT(A) has erred on fact and in law in upholding the addition of Rs. 50,250/- being difference in the account of M/s. Eskay Sales Corporation, which addition is bad in law and be deleted. 5. Because the CIT(A) has erred on facts and in law in upholding the following disallowances, out of expenses, which disallowances made by the Assessing Officer are all contrary to facts bad in law and be deleted : (i) Rs. 7,575/- out of travelling expenses, (ii) Rs. 12,322/- out of Misc. expenses. The above disallowances are contrary to facts, bad in law and be deleted." 2. At the outset, Learned A. R. invited our attention to the fact that the appeal filed by the assessee is delayed by 36 days. He also invited our attention to the application dated 20/01/2018, filed by the assessee, for condonation of delay wherein the reasons for delay in filing the ....
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....idents. Section 172(1) provides the mode of the levy and recovery of tax in the case of any ship, belonging to or chartered by a nonresident, which carries passengers, livestock, mail or goods shipped at a port in India. An analysis of the provisions of section 172 would show that these provisions have to be applied to every journey a ship, belonging to or chartered by a non-resident, undertakes from any port in India. Section 172 is a self-contained code for the levy and recovery of the tax, shipwise, and journeywise, and requires the filing of the return within a maximum time of thirty days from the date of departure of the ship. 3. The provisions of section 172 are to apply, notwithstanding anything contained in other ' provisions of the Act. Therefore, in such cases, the provisions of sections 194C and 195 relating to tax deduction at source are not applicable. The recovery of tax is to be regulated, for a voyage undertaken from any port in India by a ship under the provisions of section 172. 4. Section 194C deals with work contracts including carriage of goods and passengers by any mode of transport other than railways. This section applies to pa....
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....e carried the matter in appeal before learned CIT(A), he also upheld the action of the Assessing Officer. Learned A. R. submitted that in a number of cases, decided by this Bench and various High Courts, it has been held that ad hoc disallowance, without pointing out any discrepancy in the books of account, cannot be made. 8. Learned D. R., on the other hand, heavily relied on the orders of the authorities below. 9. We have heard the rival parties and have gone through the material placed on record. We find that Assessing Officer has made the disallowance simply by holding that the assessee produced ledger account of these expenses which are not open to full verification and hence has disallowed 10% out of various expenses. The Assessing Officer has nowhere pointed out any specific discrepancy in the books of account nor he has rejected the same. In our opinion, the Assessing Officer cannot make ad hoc disallowance. Hon'ble Calcutta High Court in the case of Ashok Surana vs. CIT [2016] 384 ITR 267 (Cal) has held as under: "The assessee was an individual engaged in the business of producing television serials and had offices at Calcutta, Bangalore, Delhi and Mumba....
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....s from the date of conclusion of hearing. We are also alive to the fact that rule 34(5) of the Income Tax Appellate Tribunal Rules 1963, which deals with pronouncement of orders, provides as follows: (5) The pronouncement may be in any of the following manners :- (a) The Bench may pronounce the order immediately upon the conclusion of the hearing. (b) In case where the order is not pronounced immediately on the conclusion of the hearing, the Bench shall give a date for pronouncement. (c ) In a case where no date of pronouncement is given by the Bench, every endeavour shall be made by the Bench to pronounce the order within 60 days from the date on which the hearing of the case was concluded but, where it is not practicable so to do on the ground of exceptional and extraordinary circumstances of the case, the Bench shall fix a future day for pronouncement of the order, and such date shall not ordinarily (emphasis supplied by us now) be a day beyond a further period of 30 days and due notice of the day so fixed shall be given on the notice board. 8. Quite clearly, "ordinarily" the order on an appeal should be pronounced by the bench within....
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....e Court of India, in an unprecedented order in the history of India and vide order dated 6.5.2020 read with order dated 23.3.2020, extended the limitation to exclude not only this lockdown period but also a few more days prior to, and after, the lockdown by observing that "In case the limitation has expired after 15.03.2020 then the period from 15.03.2020 till the date on which the lockdown is lifted in the jurisdictional area where the dispute lies or where the cause of action arises shall be extended for a period of 15 days after the lifting of lockdown". Hon'ble Bombay High Court, in an order dated 15th April 2020, has, besides extending the validity of all interim orders, has also observed that, "It is also clarified that while calculating time for disposal of matters made time-bound by this Court, the period for which the order dated 26th March 2020 continues to operate shall be added and time shall stand extended accordingly", and also observed that "arrangement continued by an order dated 26th March 2020 till 30th April 2020 shall continue further till 15th June 2020". It has been an unprecedented situation not only in India but all over the world. Government of India has, v....