2026 (1) TMI 1658

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....venue : Shri Abhijit Sr. DR ORDER Per Sanjay Garg, Judicial Member: The present appeal has been preferred by the assessee against the order of Office of the Commissioner of Income Tax, Appeal, ADDL/JCIT (A)-1, Nashik, National Faceless Appeal Centre (NFAC), Delhi [hereinafter referred to as 'CIT(A)'] dated 04/08/2025 passed u/s.250 of the Income Tax Act, 1961 (hereinafter referred to as '....

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....,725.00 563,683.00 Freight & Forwarding Charges 2,050,708.00 1,053,981.00 Labour Hiring Charges 10,190,755.00 2,967,827.00 Testing Charges - Material 19,956.00 40,816.00 Calibration Expenses 59,619.00 5,450.00 Consultancy Charges 1,140,250.00 622,617.00 Electricity Expenses-Office 31,896.00 4,270.00 Foreign Exchange Loss 22,974.00 0....

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....26.00 Software Maintenance Expenses 0.00 12,500.00 Sales Promotion Expenses 302,700.00 47,391.00 Telephone Expenses 238,041.00 130,051.00 Travelling Expenses 1,636,612.00 1,530,038.00 Vehicle Hire Charges 184.300.00 860.914.00 Preliminary and pre-operative expenses w/off 354,907.00 354,907.00" 2.1. The AO made the disallowance @ 5% out of th....

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....nancial report, simply disallowed the 5% of these expenditure on adhoc basis without assigning any justifiable reason. He has further submitted that even the net profit rate of the assessee for the year under consideration has increased considerably and there was no reason for the lower authorities to make/confirm the aforesaid disallowance. 5. The Ld. DR, on the other hand, has relied upon the....