TaxTMI 
TaxTMI 
2021 (8) TMI 289
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....consent for withdrawal of Ground of Appeal No 2 raised by the assessee before the CIT (A), concerning the disallowance of interest payment to the tune of Rs. 3, 77,803/-, whereas there was no concession given to such an extent by the assessee. It appears that the counsel of the assessee was induced by the CIT (A), in according such consent. It is settled principle of law that notional disallowance of interest is impermissible under law. Further the assessee, had free reserves and a substantial part of loan/advance was not made during the year under consideration. 2. Because on the facts in the circumstances of the case, the CIT (A) has manifestly erred in law and is not justified in confirming the disallowance of Commission expendi....
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.... c. The payment of Commission has resulted in escalated Sales. d. Proper TDS has been effected on such Commission Payment. e. Payment of Commission has been accepted by the same CIT (A) in case of son of the assessee on like facts and analogues circumstances and on similar considerations. f. The persons who have been paid the Commission have not been interrogated or examined. There is no denial of receipt of Commission Income by the said commission agents, who are also taxpayers. g. The purchasers of the commodity may not be aware of the existence of the Commission Agent. To cite an example in multi-level marketing Companies, there is rampant payment of Commission, however the purchaser to the produc....
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....pugned order of the CIT(A), the assessee filed the present appeal and raised various grounds reproduced above. 3. At the time of hearing, the learned AR of the assessee has also raised an additional ground challenging the validity of the assessment passed under section 143(3) due to lack of jurisdiction of the Assessing Officer, Income Tax Officer, Ward 1(2), Allahabad. The learned AR has submitted that the jurisdiction of the assessee was transferred from Income Tax Officer, Ward 1(2), Allahabad to JCIT, vide order dated 8.10.2013 passed under section 127 of the Income Tax Act by the CIT. Thereafter, the JCIT after conducting some proceedings of the assessment vide letter dated 22.12.2014 sent back the file to the Income Tax Officer, Wa....
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.... submitted that the assessee has filed a return with the jurisdiction of Income Tax Officer, Ward 1(2), Allahabad who has also initiated the assessment proceedings by issuing the notice under section 143(2). Thereafter, the case was transferred from Income Tax Officer, Ward 1(2), Allahabad to JCIT under the centralization of jurisdiction vide order dated 8.10.2013 under section 127. The learned DR has pointed out that thereafter the CBDT vide notifications dated 27.10.2014 and 13.11.2014 issued under section 120 of the Income Tax Act assigned jurisdiction to perform functions of an AO to ITOs except in the cases where the ACIT or the JCIT are authorized by the Pr. CIT or the CIT as the case may be to exercise the power and perform the funct....
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....SC) Sant Baba Mohan singh vs. CIT 91973) 90 ITR 197, 199 (Alld.) Sitaram Rathore vs. CIT 91981) 130 ITR 699 (Alld.) West Bengal State Electricity Board vs. Dy. CIT (2005) 278 ITR 218 (Cal.) Abhishek Jain vs. ITO (2018) 94 taxman.com 355 (Del.) 7. I have considered the rival submissions as well as relevant record. Both the parties have argued at length on the legal issue raised by the assessee challenging the jurisdiction of the Assessing Officer to complete the assessment under section 143(3). It is pertinent to note that the issue regarding the jurisdiction of the Assessing Officer was undisputedly not raised by the assessee either before the Assessing Officer before the completion of the assessment o....