2023 (8) TMI 328

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....reinafter referred to as the 'Ld. AO') u/s 143(3) of the Income Tax Act (hereinafter referred to as 'the Act') on 18/12/2018 for the Assessment Year 2016-17. 2. The assessee has raised the following grounds of appeal: "Based on the facts and circumstances of the case, UFO Moviez India Limited (hereinafter referred to as the 'Appellant') craves to prefer an appeal against the order dated 12 June 2019 issued by the learned Commissioner of Income-tax (Appeals) - 9, New Delhi ['CIT(A)'] (received by the Appellant on 12 July 2019) upholding the order dated 18 December 2018 issued by the learned Assistant Commissioner of Income Tax - 27(1), New Delhi ('AO') under section 143(3) of the Income-tax Act, 1961 ('Act'), on the following grounds: ....

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....te and/or modify in any manner whatsoever all or any of the above grounds/sub-grounds of appeal at any time before or at the time of the appeal." 3. At the outset, we find that the delay in filing of appeal by the assessee before us by 23 days. The assessee has filed a confirmation letter through the Chartered Accountant by letter dated 10/10/2019 stating that the order of the Ld. CIT(A) was handed over to him for further action and that the Chartered Accountant had ignored the dead line due to inadvertence and ultimately appeal was filed with the delay of 23 days. In view of this, we condone the delay and admit the appeal filed by the assessee for adjudication. 4. The only issue to be decided in this appeal is challenging the disallowanc....

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....re list of investments made by it before the ld. AO. Out of the said investments, the assessee had earned exempt income only from one company i.e., Scrabble Entertainment Limited during the year under consideration. These facts are not in dispute. The assessee also submitted the complete list of borrowings on account of Term Loan, Vehicle Loan, Cash Credit facility and also gave the explanation with regard to the utilization of the same. Further the assessee also gave an explanation before the Ld. AO in the form of availability of sufficient own funds in its kitty which would be sufficient to meet the investments yielding exempt income. The Ld. AO disregarded the entire contentions of the assessee and directly proceeded to apply computation....