2015 (8) TMI 1536

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ies paid to partners without issue of notice to the appellant, as required u/s 251(2) b) in holding that no deed of partnership was filed & that there has been no evidence about material supplied by the contractee at Rs. 14,86,146/- c) in ignoring the papers with submission note filed before him on 20-06-2014 2. That asstt. order has been passed u/s 143(3) in the status of R.F. & deduction of salaries & interest to partners from income is a necessary corollary unless denied by A.O in his order itself like A.Y 2012-13 u/s 143(3)/154 by the same I.T.O. 3. That the new partners introduced are all qualified and experienced persons and were associated with the appellant firm earlier as well and were capab....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....see in ground no.1 (a) raised before the Tribunal. 5. We have considered the rival submissions. Regarding Ground no.1 of the assessee, we find force in the submission of Ld. DR of the Revenue that in the present case, there is no enhancement by Ld. CIT(A) in respect of disallowance of interest and salaries paid to partners because the same was not allowed by the AO also and therefore, there was no requirement to issue notice u/s 251(2) of the Act by Ld. CIT(A). Therefore, Ground No.1 (a) of the assessee is without any merit. 6. Regarding the merit of the allowability of deduction in respect of interest and salary paid by the assessee firm to its partners, it is seen that this aspect was decided by Ld. CIT(A) in view of the provisions ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....on in the assessment order that when the AO required the assessee to furnish these information and the assessee failed to furnish the same. In the paper book, in respect of four partners out of six new partners, copy of acknowledgement/intimation u/s 143 (1) along with PAN is available on pages 10 to 13 of the paper book. The address and PAN of these four partners are available in the said acknowledgment/intimation. 8. Ld. CIT(A) also confirmed these additions on this basis that during the assessment proceedings or appellate proceedings, the assessee did not furnish their addresses PAN or their confirmation. In view of these facts that acknowledgement of filing income tax return/intimation in respect of four new partners out of six new p....