9911796707
|
Home
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2014 (8) TMI 163 - AT - Income TaxEx-parte order - Deferred revenue expenses added - deferred revenue expenditure of ₹ 49,79,000/-, which was reduced from the profit of ₹ 28,34,000/- to show nil income the AO disallowed the deferred revenue expenditure - Held that - CIT(A) has granted several opportunities to the assessee to represent his case, which assessee has not availed, though, considering the nature of dispute and in the interest of justice, one more opportunity is allowed to the assessee to represent his case before the CIT(A) thus, the matter is remitted back to the CIT(A) for fresh adjudication Decided in favour of Assessee. Condonation of delay Affidavit not furnished before CIT(A) Held that - Assessee has filed the appeal before the CIT(A) with a delay of 12 days - assessee has explained the cause of delay and requested for condoning the delay - The affidavit has been filed for the first time and was not filed before the CIT(A) before whom the delay has occurred thus, the matter is to be remitted back to the CIT(A) for the purpose of considering condonation of delay and hearing the appeal on merit Decided in favour of Assessee.
Issues:
1. Disallowance of deferred revenue expenditure. 2. Ex-parte order by CIT(A) due to non-appearance of the assessee. 3. Disallowance of trade discount and depreciation claim. 4. Delay in filing appeal before CIT(A) and its condonation. Issue 1: Disallowance of deferred revenue expenditure The assessee, a company, faced disallowance of deferred revenue expenditure by the AO during assessment proceedings for not providing necessary information. The CIT(A) partially allowed the expenditure, but the ITAT remitted the matter back to the AO for fresh consideration. In the subsequent assessment, the AO added the disallowed amount, leading to the assessee's appeal before the CIT(A, which was dismissed ex-parte. The ITAT granted the assessee another opportunity to represent the case before the CIT(A, emphasizing the importance of substantiating claims with proper evidence. Issue 2: Ex-parte order by CIT(A) due to non-appearance of the assessee In the second case, the assessee filed an appeal before the CIT(A) with a delay of 12 days, leading to the dismissal of the appeal due to misrepresentation of the date of service of the assessment order. The ITAT, upon hearing the explanation for the delay provided by the assessee, decided to remit the matter back to the CIT(A) for considering the condonation of delay and hearing the appeal on merit. The ITAT emphasized the need for the CIT(A) to consider the explanation provided by the assessee and decide the appeal on its merits after condoning the delay. Issue 3: Disallowance of trade discount and depreciation claim During scrutiny assessment, the AO disallowed a substantial trade discount claimed by the assessee, leading to an appeal before the CIT(A). The CIT(A) dismissed the appeal ex-parte due to a delay in filing, as per the assessment record. The ITAT, upon hearing the explanation for the delay provided by the assessee, remitted the matter back to the CIT(A) for reconsideration, emphasizing the need for a fair hearing and consideration of the delay condonation request. Issue 4: Delay in filing appeal before CIT(A) and its condonation The ITAT, in both cases, emphasized the importance of providing valid reasons for any delay in filing appeals and the need for the appellate authorities to consider such explanations and decide on the merits of the case after condoning the delay. The ITAT granted the assessee an opportunity to have their appeals heard on merit after considering and possibly condoning the delays in filing.
|
