TaxTMI 
TaxTMI 
2024 (4) TMI 188
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....e facts of the case and grounds of appeal raised by the appellant. 3. The learned CIT(A) ought to have appreciated that the exparte order under sec 144 as passed by the assessing authority was unwarranted since the appellant had filed the return of income for the relevant year which was also duly supported by 44AB report furnished along with the return and all the material facts were available in the return and enclosed annexed thereto and in the circumstances the ex-parte order as made was opposed to law and accordingly the CIT(A) ought to have cancelled the order passed u/s.144 of the Act. 4. Without prejudice, even if the order has to be passed under sec 144 of the Act the assessing authority ought to have assessed the sundry creditors was brought to tax u/s 68 of the Act and cash deposits brought to tax u/s 69 of the Act as unexplained investment. The impugned addition as made to the income declared was opposed to law and thus liable to be deleted. 5. The learned CIT(A) erred in confirming the addition of Rs. 5,07,087/- made by the AO without verifying that whether the AO has taken the figures correctly or not. The learned AO mentioned in the order at....
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....r scrutiny. The Assessing Officer(AO) issued various notices including show cause notice, however, assessee failed to comply. The AO added Rs. 6,22,72,638/- under section 68 of the Act as unproved creditors. Thus, the AO added the entire amount of Sundry Creditors appearing in the Balance Sheet. Similarly, AO added Rs. 37,23,200/- and Rs. 2,39,272/- under section 69 of the Act. In addition to that AO made addition of Rs. 5,47,150/- and Rs. 31,700/- on account of difference in 26AS statement and return of income. Aggrieved by the assessment order, assessee filed appeal before the ld.Commissioner of Income Tax(Appeals), Hubbali. The ld.CIT(A) dismissed the appeal of the assessee. 3. Aggrieved by the order of the ld.CIT(A), the assessee filed appeal before this Tribunal. 4. As per affidavit of the assessee, the appeal filed before the Tribunal is delayed by 1330 days which included the period of COVID Pandemic also. Assessee filed affidavit to explain the delay. Assessee claimed in the affidavit that the order of the ld.CIT(A) was uploaded on the Income Tax Portal but the Chartered Accountant and assessee was not aware of the ld.CIT(A)'s order which was on the Income Tax Portal.....
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.... dismissed." 7.2 Thus, admittedly the assessee had filed written submission dated 14/08/2017, containing, following documents : * Copy of Ledger extract of various confirmation of Accounts * Copy of Ledgers * Identity and Address proof of Creditors * Cash Books * Bills * Vouchers * Bank statement * Affidavits * Challans 7.3 On perusal of the Form 35 which is a form of Appeal for filling appeal before the Commissioner of Income Tax(Appeal), which is enclosed with the Appeal, it is observed that assessee had made an application for admission of Additional Evidence under rule 46A. 7.4 However, the Commissioner of Income Tax(Appeal) failed to follow the procedure laid down in Rule 46A. The ld.CIT(A) have discretion to admit the Additional evidence if there was sufficient cause for the assessee which prevented assessee from filling the documents during the assessment proceedings. The discretion has to be used in judicious manner and one must be able to reason out. In this case the CIT(A) has not passed a speaking order for rejecting the additional evidence. The substantial justice is important not ....
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....g the additions. 7.4.4 The AO has made an addition of Rs. 31,700/- as receipt from Gammon India Ltd based on 26AS statement. However, on perusal of the Balance Sheet of the Assessee it is observed that on Asset Side Rs. 31,700/- appears against the name of Gammon India Ltd. Thus, exact amount and exact name appears in the Balance Sheet. If AO had any doubt the AO could have called for information u/s 133(6) of the Act from gammon India Ltd. 7.5 We have elaborately and specifically discussed all these points only to emphasis that we are of the opinion that admittedly the Assessee failed to comply notices issued by the Assessing Officer, but the Assessing Officer also failed to carry out necessary investigations and to understand the facts in totality. Assessing Officer always have access to the return of income of the assessee for earlier years. The AO has not bothered to study the details shown in the Balance sheets of earlier years. The aim of the Assessment Proceedings is to assessee the correct income of the Assessee. Also, the ld.CIT(A) has not adjudicated each and every ground raised by the Assessee on merits. The ld.CIT(A) also failed to consider the documents filed by ....
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....ing after stating the points for determination and then render a decision on each of the points which arise for consideration with reasons in support. Section 251(1)(a) and (b) of the Act provide that while disposing of appeal the CIT(A) would have the power to confirm, reduce, enhance or annul an assessment and/or penalty. Besides Explanation to sub-section (2) of Section 251 of the Act also makes it clear that while considering the appeal, the CIT(A) would be entitled to consider and decide any issue arising in the proceedings before him in appeal filed for its consideration, even if the issue is not raised by the appellant in its appeal before the CIT(A). Thus once an assessee files an appeal under Section 246A of the Act, it is not open to him as of right to withdraw or not press the appeal. In fact the CIT(A) is obliged to dispose of the appeal on merits. In fact with effect from 1st June, 2001 the power of the CIT(A) to set aside the order of the Assessing Officer and restore it to the Assessing Officer for passing a fresh order stands withdrawn. Therefore, it would be noticed that the powers of the CIT(A) is coterminous with that of the Assessing Officer i.e. he can....