2022 (11) TMI 1257

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....the 'Act'). The Revenue in this appeal has taken the following grounds of appeal: " 1. Whether on the facts and circumstances of the case, the Ld. CIT(A) has erred in directing the A.O to delete the disallowance u/s 68 instead of the fact that the claim of the assessee could not be substantiated. 2. Whether on the facts and circumstances of the case, the Ld. CIT(A) has erred in directing the A.O to delete the disallowance u/s 14A though the disallowance was made relying on CBDT's circular No.5/2014 dated 11.02.2014. 3. That the appellant craves for leave to add, delete, amend or modify any ground before or at the time of appellate proceedings." 2. Ground No.1: - At the outset, the ld. Counsel for the assessee h....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ng Officer, allowed claim of assessee, revenue was not entitled to maintain an appeal before Tribunal against said order of Commissioner(Appeals). The ld. Counsel for the assessee has further relied upon the decision of Jurisdictional Calcutta High Court in the case of PCIT vs. Ambition Agencies (P) Ltd. reported in [2022] 134 taxmann.com 5 (Calcutta), wherein, the Jurisdictional Calcutta High Court has held that where entire sum of share capital along with share premium was added back as unexplained cash credit u/s 68, on remand report by CIT(A), Assessing Officer had concluded that transactions with all shareholders were duly cross-verified and were in order, Commissioner (Appeals) was fully justified in deleting addition. 4. The ld. D....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... upon the newly inserted explanations to Section 14A of the Act, which is extracted for the sake of ready reference:- "14A. [(1)] [Notwithstanding anything to the contrary contained in this Act, for the purposes of] computing the total income under this Chapter, no deduction shall be allowed in respect of expenditure incurred by the assessee in relation to income which does not form part of the total income under this Act.] ************************ *********************** [Explanation.-For the removal of doubts, it is hereby clarified that notwithstanding anything to the contrary contained in this Act, the provisions of this section shall apply and shall be deemed to have always applied in a case where th....