2015 (10) TMI 1376 - AT - Income Tax

Disallowance of brought forward loss and non consideration of TDS credit and advance tax payment - Held that - After hearing both sides, we are of the opinion that this issue has to be reconsidered by the Assessing authority in the light of assessment order as well as in the light of evidence available with the assessee. Accordingly, the case for the impugned assessment year is remanded back to the Assessing Office to reconsider both issues in the light of material or evidence that may be produced by the assessee.

Summary

Issues:
- Appeal against orders passed by the Commissioner of Income Tax (Appeals) for assessment years 2005-06 and 2009-2010.
- Dismissal of appeal for 2005-06 due to following Tribunal's order.
- Grievance regarding disallowance of brought forward loss and non-consideration of TDS credit for 2009-2010.
- Remand of the case back to the Assessing Officer for reconsideration.
- Partial allowance of appeal for 2009-2010.

Analysis:
1. Assessment Year 2005-06:
The appeal for this year was dismissed as the Commissioner of Income Tax (Appeals) followed the Tribunal's order for the assessment year 2002-03. Consequently, the appeal for 2005-06 was dismissed based on the precedent set by the Tribunal in ITA No.361/Mds/2006 dated 27.09.2007.

2. Assessment Year 2009-2010:
The grievance raised by the assessee for this year pertained to the disallowance of brought forward loss and the non-consideration of TDS credit and advance tax payment. The Appellate Tribunal, after hearing both parties, decided to remand the case back to the Assessing Officer for reconsideration. The Tribunal emphasized that the Assessing Officer must reevaluate the issues in light of the assessment order and any evidence presented by the assessee. Furthermore, the Tribunal directed the Assessing Officer to provide adequate opportunity to the assessee for presenting their case.

3. Overall Decision:
The appeal for the assessment year 2009-2010 was treated as partly allowed, indicating that the issues raised by the assessee regarding the disallowance of brought forward loss and non-consideration of TDS credit and advance tax payment were recognized as requiring further examination. The Tribunal's decision signified a partial success for the assessee in this appeal. In contrast, the appeal for the assessment year 2005-06 was dismissed based on the Commissioner of Income Tax (Appeals) decision following the Tribunal's order for the preceding assessment year.

In conclusion, the Appellate Tribunal's judgment involved the dismissal of one appeal based on precedent and the remand of another appeal back to the Assessing Officer for reconsideration of specific issues. The decision highlighted the importance of reevaluation based on evidence and providing a fair opportunity for the assessee to present their case.