2019 (12) TMI 351 - AT - Income Tax

AO filing appeal against his own factual finding - HELD THAT - Assessing Officer has no locus standi to file an appeal against his own findings in the remand report. See SMT. B. JAYALAKSHMI 2018 (8) TMI 208 - MADRAS HIGH COURT and M/S SHRADDHA TOWER PVT. LTD. 2018 (10) TMI 1405 - ITAT KOLKATA . Hence, this appeal of the revenue is dismissed as not maintainable.

Summary

Issues Involved:
1. Appeal against order of Learned Commissioner of Income Tax (Appeals) relating to Assessment Year 2009-10.
2. Locus standi of the Income Tax Officer to file an appeal against his own findings in the remand report.

Analysis:

Issue 1:
The appeal filed by the revenue challenged the order of the Learned Commissioner of Income Tax (Appeals) relating to Assessment Year 2009-10. The Assessing Officer provided a detailed remand report confirming the identity, creditworthiness, and genuineness of transactions of the share applicants. The remand report highlighted that all share applicants were assessed to income tax, payments were made through banking channels, and their resources were substantiated. The CIT(A) accepted the arguments presented by the appellant, emphasizing the authenticity and creditworthiness of the share applicants. The CIT(A) found no adverse findings in the assessment records and directed the Assessing Officer to delete the addition made under section 68 of the Income Tax Act. The appeal was allowed based on the comprehensive analysis of the remand report and supporting evidence.

Issue 2:
The second issue revolved around the locus standi of the Income Tax Officer to file an appeal against his own findings in the remand report. Citing precedents, including the Madras High Court and Delhi ITAT judgments, it was established that the Assessing Officer cannot appeal against his own factual findings provided in the remand report. The Kolkata Bench of the Tribunal, in line with the legal precedents, dismissed the appeal of the revenue as not maintainable. The Tribunal emphasized that the Assessing Officer lacks the authority to challenge his own verified findings, leading to the dismissal of the revenue's appeal. The decision was based on the established legal principles and the specific circumstances of the case.

In conclusion, the judgment addressed the issues of challenging the CIT(A)'s order for Assessment Year 2009-10 and the Assessing Officer's locus standi to appeal against his remand report findings. The detailed analysis of the remand report, legal precedents, and factual circumstances led to the dismissal of the revenue's appeal. The judgment underscored the importance of upholding the integrity of verified findings and respecting legal boundaries in the appeals process.