TaxTMI 
TaxTMI 
TaxTMI 
2025 (7) TMI 375
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.... assessment year 2012-13 on 05.10.2012, admitting total income of Rs. 2,19,340/- after claiming deduction of Rs. 1,00,000/-. Subsequently, an information was received by the Income Tax Officer, Ward-2, Nizambad from Commercial Tax Officer, Bodhan Circle, Nizamabad Division that, the assessee was short payment of sales tax for the period from January 2011 to May 2014 and had claimed the payment through fake challan attracting disallowance u/sec.43B of the Income Tax Act, 1961. The Assessing Officer had carried-out necessary verification u/sec.133(6) of the Act and thereafter, reopened the assessment by issuing notice u/sec.148 of the Act on 23.03.2019. In response to the notice issued u/sec.148 of the Act dated 23.03.2019, the assessee had f....
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.... the appellant to disclose fully and truly all the material facts necessary for the assessment. Hence the notice issued under section 148 is invalid. The another contention of the assessee before the learned CIT(A) was that, the reopening of case by the Assessing Officer is merely on the basis of assumption/presumption and suspicions. In absence of clinching evidence, the assessment cannot be reopened u/sec.147 of the Act on presumptions/suspicion. It was the submission of the assessee before the learned CIT(A) that, the Assessing Officer has simply relied on the information from the Commercial Tax Officer, Bodhan and made the impugned addition and that, the contents of the said letter has not been forwarded to the assessee either by the Co....
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....he AO. The appellant has also furnished the same documents which were submitted before the AO and were found to be not satisfactory. It may be mentioned that the appellant has submitted that his employee/consultant had embezzled Rs. 4,94,128/- towards payment of VAT. Further the AO was in possession of the information that the appellant had claimed the payment of VAT through fake challans. In view of the same the AO had insisted on proof of payment of VAT by furnishing a certificate from the bank. In spite of a number of opportunities given and a show cause issued the appellant had not furnished such confirmation from the bank. Even in this appellate proceeding too the appellant has not furnished the certificate of bank. Therefore the claim....
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....herefore dismissed." 5. Aggrieved by the order of the learned CIT(A), the assessee is now in appeal before the Tribunal. 6. CA, P. Murali Mohan Rao, Learned Counsel for the Assessee submitted that, the learned CIT(A) has erred in law in sustaining the additions made by the Assessing Officer towards VAT payments u/sec.43B of the Act without appreciating the fact that, the assessee has paid relevant VAT through banking channel, for which, VAT returns filed for the relevant months has been filed before the authorities. Learned Counsel for the Assessee further referring to VAT returns for the month of January, 2011 to May, 2014 submitted that, the assessee is periodically paying VAT which is evident from the returns filed with the authorities....
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.... has failed to file any evidences including relevant bank statements to prove payment of VAT to the authorities. In absence of any details, the Assessing Officer has rightly made the addition towards VAT payment u/sec.43B of the Act. The learned CIT(A) after considering the evidences filed by the assessee, has rightly sustained the additions made by the Assessing Officer and the order of the learned CIT(A) should be upheld. 8. We have heard both the parties, perused the material on record and gone through the orders of the authorities below. There is no dispute with regard to the fact that, the Assessing Officer has received information from Commercial Tax Officer, Bodhan Circle, Nizamabad Division regarding certain dealers claiming fake c....
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....the learned CIT(A), except making oral arguments, the assessee could not file any evidence to support his claim. Therefore, the learned CIT(A) sustained the additions made by the Assessing Officer. In respect of various case laws relied upon by the assessee, including the decision of Devi Agro Industries, Hyderabad vs., ITO, Ward-2, Hyderabad (supra) and other two decisions, in our considered view, the Tribunal has given a factual finding that, the assessee has produced DCB reports in respect of CST and VAT demand. As per the said DCB report, there is no outstanding dues for the relevant period and in those facts, a direction has been given to verify the claim of the assessee and decide the issue. Since, in the present case, the assessee co....