TaxTMI 
TaxTMI 
2026 (7) TMI 1637
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....e (NFAC), Delhi [hereinafter referred to as 'ld. CIT(A)/NFAC], under section 250 of the Income Tax Act, 1961 [hereinafter referred to as, 'Act'] arising out of the separate assessment orders dated 09.12.2019 passed by the DCIT, Circle-19(2), Delhi (hereinafter referred as 'the AO') u/s. 143(3) of the Act for Assessment Year 2017-18 & assessment orders dated 05.03.2021 passed by the National e-Assessment Centre, Delhi u/s. 143(3) r.w.s 143(3A) & 143(3B) of the Act for Assessment Year 2018-19. 2. The grounds of appeal raised by the assessee in ITA No.606/Del/2026 are as under: 1. That the learned Commissioner of Income Tax (Appeals) has grossly erred both in law and on facts in sustaining an assessment u/s. 143(3) of the Act at a ....
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....ransactions incurred during the impugned assessment year and as such, computation of tax (if any) should have been made as per the normal provisions of the Act. 3. That the learned Commissioner of Income Tax (Appeals) has erred both on facts and in law in arbitrarily upholding the findings and sustaining the addition made by the learned AO of a sum Rs. 72,47,927/- on account of alleged unexplained sundry creditor M/s Goldi Green Technologies Pvt. Ltd., further, the findings so recorded are contrary to material available on record and needs to be deleted, as such. 3.1 That while doing so, learned CIT (A) has failed to appreciate the fact that the assessee appellant had furnished requisite documentary evidences in the shape ....
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....nciples of natural justice as the assessee-appellant has not been given a fair opportunity of being heard and also the additional evidence, replies, written submissions of the assessee-appellant were either completely brushed aside and/or were not considered properly i.e. without proper application of mind. 7. The assessee craves to leave add, alter, and modify any other ground of appeal at the time of hearing." 3. Brief fact as culled from the record are that the income tax return was filed by the assessee company on 28.09.2017 showing loss of Rs. 82,89,975/- under normal provision of Act and loss of Rs. (-) Rs. 2,38,93,726/- under section 115JB of the Act. The assessee-company claimed to have income from Trading of solar panel....
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....f failure to explain some of the cash sales, cannot be ruled out. Be that as it may, it is deemed appropriate, in larger interest of justice, that a lump-sum addition of Rs. 3.50 lakh only would be just and proper with a rider that the same shall not be treated as a precedent, so as to cover all loopholes. The assessee's ground on this count is partly allowed. 7. Ground Nos.3 and sub ground is with regard to the addition made at Rs. 72,47,927/- on account of unexplained sundry creditor M/s Goldi Green Technologies Pvt. Ltd. Before us, learned Counsel for the assessee submitted that the assessee had filed additional documentary evidences in form of confirmation of the said party along with ledger account in the books of assessee company b....
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....essed and hence this ground is dismissed. 11. Ground No.5 is with regard to disallowance of expense of Rs. 9,62,780/- on account of cessation of input VAT credit. Before us, learned Counsel for the assessee explained that VAT credit is not claimed in the VAT Return filed as it becomes part of purchase cost and can be debited into purchase account. The assessee instead of debiting purchase account has treated it as cessation of input VAT account in other expenses and shown in P & L account for identification purpose. Therefore, it is liable to be allowed as expense under section 37(1) of the Act. In such factual matrix of the instant case, we are of the considered view that the input VAT has become part of purchase cost and is allowable u....