TaxTMI 
TaxTMI 
2022 (9) TMI 717
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....Act") by learned Commissioner of Income Tax (Appeals)-39, Mumbai, ["learned CIT(A)"], for the assessment year 2002-03. 2. The cross appeals have been listed for hearing before us pursuant to order dated 05/09/2019, passed by the coordinate bench of the Tribunal, in MAs No. 355/Mum/2019 and 356/Mum/2019, whereby earlier ex-parte order dated 01/04/2016, passed under section 254(1) of the Act was recalled and appeal was directed to be re-fixed for hearing. ITA no.4499/Mum./2013 Assessee's Appeal - A.Y. 2009-10 3. In its appeal, the assessee has raised following grounds: 1. The learned Commissioner of Income Tax (A)-39, Mumbai erred in confirming sum of the additions made by the Id. AO the returned loss of Rs. 2,27,054/-. ....
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....order dated 23/12/2011 passed under section 143(3) of the Act, in absence of any documentary evidence, treated the liability as non-existent and accordingly, added the amount of sundry creditors of Rs. 1,04,70,535 to the income of the assessee. The Assessing Officer also rejected the contention of the assessee that section 41(1) of the Act is inapplicable in the present case. In appeal, learned CIT(A) vide impugned order dated 30/03/2013 dismissed the appeal filed by the assessee on this issue. Being aggrieved, the assessee is in appeal before us. 6. During the course of hearing, learned Authorised Representative ("learned AR‟) submitted that the liability is still continuing and therefore, cannot be considered to be ceased under s....
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....f the Act. Further, it is also evident that the said liability is continuing in the books of account of the assessee from previous assessment years and there is nothing available on record to show that Revenue had ever doubted the genuineness of said liability in previous years. For the application of section 41(1) of the Act, it is necessary that the assessee must have obtained some benefit in respect of such trading liability by way of remission or cessation thereof. As per provision of section 41 of the Act, such remission or cessation of liability also includes unilateral act of writing off such liability in the books of accounts by the assessee. The Revenue without bringing anything on record that the assessee has received some benefit....
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....9;Income' when the film was released, for which advances was taken from Distributors/Presenters/event managers, (2) On the facts and in the circumstances of the case and in law, the Learned CIT(A) erred in not referring the new additional evidences/submissions to the AO for verification and comment before accepting the plea as required in Rule 46A of the Income Tax rules 1962. (3) The appellant prays that the order of the CIT(A) on the above ground be set side and that of the AO be restored." 10. The only grievance of the Revenue is against deletion of addition made on account of advances received by the assessee. 11. The brief facts of the case pertaining to this issue, as emanating from the record, are: The ass....
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....ll be considered as income. On the other hand, learned DR vehemently relied upon the findings of the Assessing Officer. 13. We have considered the rival submissions and perused the material available on record. During the year under consideration, assessee had shown following advances received from distributors/presenters/events, in its books of accounts: a) Salman Khan (Presenters) MDTD Rs. 2,09,75,000 b) Sohail Khan MDTD Rs. 5,00,000 c) Film City Show Rs. 11,00,000 d) Jalwa - 2003 Dubai Show Rs. 1,81,359 e) Show Blitz India Ltd Rs. 5,00,000 f) Sony Filmcity Show Rs. 4,50,000 14. We further find that these loans/advances were reflected in the financials in previous years also. As ....