2023 (1) TMI 1153 - AT - Income Tax

Benefit/perquisite u/s 2(24)(iv) - CIT(A) deleting the addition made on account benefit/perquisite u/s 2(24)(iv) and further holding that provisions of section 115BE provisions of section 115BE - reply of the assessee was dismissed by the AO estimated the benefit by taking rate of interest @ 6% p.a. and made the impugned addition - HELD THAT - As in the case of Anil Kumar Sharma 2020 (2) TMI 1684 - ITAT DELHI we restore all this issues raised before us to the file of the Assessing Officer for reconsideration as per the direction of the Tribunal.

Summary

Issues Involved:
Appeals against common order of CIT(A) regarding addition on account of benefit/perquisite u/s 2(24)(iv) and invocation of section 115BE of the Income-tax Act, 1961 for Assessment Years 2012-13 to 2014-15.

Analysis:

1. Common Grievance - Addition on Account of Benefit/Perquisite u/s 2(24)(iv):
- The appeals were filed by the Revenue against the CIT(A)'s order deleting the addition made on account of benefit/perquisite u/s 2(24)(iv) of the Income-tax Act, 1961. The Assessing Officer had estimated the benefit by taking interest rate @ 6% p.a. and added it to the assessee's total income.
- The CIT(A) held that similar additions made in earlier years were deleted, and based on that precedent, the addition for the current years was also deleted. The Tribunal noted that the CIT(A) did not provide independent findings but merely followed a previous decision.
- Referring to a similar case, the Tribunal set aside the appeals to the file of the Assessing Officer for reconsideration in line with the previous decision. The appeals of the Revenue were treated as allowed for statistical purposes.

2. Invocation of Section 115BE of the Act:
- The common grievance also included the issue of invoking section 115BE of the Act. The CIT(A) had erred in holding that the provisions of this section cannot be invoked in the current scenario.
- The Tribunal, following a precedent in a related case, directed that all issues be restored to the file of the Assessing Officer for reconsideration. The appeals of the assessee were allowed for statistical purposes, aligning with the decision in the previous case.
- Finding parity of facts, the Tribunal set aside the appeals to the file of the Assessing Officer with a direction to decide the impugned issue in accordance with the decision taken in the related case.

In conclusion, the appeals were disposed of by the Tribunal, setting aside the additions made by the Assessing Officer and directing reconsideration based on precedents in related cases. The decisions of the CIT(A) were found to lack independent findings, leading to the restoration of the issues to the Assessing Officer for further examination.