TaxTMI 
TaxTMI 
2023 (12) TMI 494
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....rcumstances of the case and in law, the ld. CIT(A) has erred in confirming the adjustment made by CPC making addition of Rs. 4,12,540/- on the basis of entries found in form No. 26AS, particularly when: a) Entire interest income of Rs. 8,24,766/- was declared in interest account and net result Rs. 4,11,258/- after deduction of interest payment of Rs. 12,36,024/- was shown in profit & loss account. b) Same treatment was given in the immediate preceeding year, which was accepted. c) Confirming the adjustment of CPC causing double taxation. 2. Appellant craves leave to add, alter, vary or delete any of the ground(s) either before or in the course of the hearing of the appeal." 2. Brief facts of the case a....
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.... Rs. 4,12,541/- was added. The assessee further submitted that the CPC may have issued notice/letter to the assessee before making adjustment but no information of such notice on registered mail or mobile number was received, thus no compliance could be made. No reasonable and proper opportunity to represent her case was provided which resulted in violation of natural justice. The programming of computerized system of CPC which is based on data, cannot consider allowability, therefore, enhancement of income was made merely on the basis of entries found in the form No. 26AS without deduction of expenditure. The Legislature has considered such situation and abolished any adjustment merely on the basis of entries found in Form No. 26AS w.e.f. ....
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....h the interest income and the assessee simply made a bald assertion that e-mail or communication issued by CPC were not received, no cogent material to that effect is placed. The ld. CIT(A) further noted that unsecured loan availed by the assessee at the end of financial year was of Rs. 1.83 crore which is around 50% of total balance sheet. The assessee made huge investment in property. On such observation, the ld. CIT(A) held that the CPC made adjustment correctly. Further aggrieved, the assessee has filed present appeal before this Tribunal. 5. Notice of appeal was served upon the assessee for the date fixed on 14/08/2023. On 14/08/2023, the assessee sought adjournment by filing application on 11/08/2023 through Soni Associates, Advoca....
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....mount of interest of Rs. 4,25,116/-. The assessee incurred total interest expenses of Rs. 12,36,024/- and difference of Rs. 4,11,258/- was deducted from business income in computation of income. The bank interest of Rs. 61,869/- was shown under the head "income from other sources". The CPC compared the interest income reflected in form No. 26AS and net interest income shown in computation of income and found difference of Rs. 4,12,541/- which was added to total income and created demand. The assessee in all fairness in her submission mentioned that the CPC might have issued notice to the assessee before making adjustment but no such notice was received on her registered e-mail or mobile number, thus no compliance could be made. The CPC whic....