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TMI Blog2016 (3) TMI 1220X X X X Extracts X X X X X X X X Extracts X X X X ..... nt relief to the assessee. Therefore, in the absence of production of complete vouchers of expenses, the addition was rightly made of 20,000/-. This ground of appeal raised by the assessee is, therefore, dismissed. Addition of telephone and petrol expenses - Held that:- The addition is excessive in nature. The nature of business of the assessee is manufacturing of potato chips and assessee filed the return of income at 1,61,877/-. It is also admitted fact that the assessee has not maintained any details of these expenses. Therefore, personal usage of these items cannot be ruled out. However, considering the nature of the business of the assessee and return of income so filed, I reduce the addition to 10,000/- as against the addition of 30,0 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... (2005 (2) TMI 63 - PUNJAB AND HARYANA High Court ) X X X X Extracts X X X X X X X X Extracts X X X X ..... ssee is, therefore, dismissed. 7. On ground No.3, the assessee challenged an addition of ₹ 30,000/- out of telephone and petrol expenses. The assessee had claimed expenses of ₹ 96,032/- and ₹ 49,418/- on account of telephone and petrol expenses respectively. The Assessing Officer was of the view that personal use of telephone cannot be ruled out and accordingly, disallowed ₹ 30,000/-. 8. It was submitted before the learned CIT (Appeals) that no material was brought on record to point that specific vouchers were not produced. The addition has been made on adhoc basis. However, the learned CIT (Appeals) found that the assessee has not maintained any call details/log book, etc. Therefore, personal use of these items c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ns, I am of the view that addition is still on excessive side. Even if no details of family contribution is filed, but it admitted fact that the assessee is living in joint family and other family members would also contribute for household expenses. Considering the nature of the business of the assessee and return of income filed at very low amount, the addition is restricted to ₹ 30,000/- as against ₹ 60,000/-. This ground is, therefore, partly allowed. 10. On ground No.5, the assessee challenged the order of the learned CIT (Appeals) in not allowing benefit of unabsorbed losses of earlier years without appreciating the fact that the assessee is entitled to set off of unabsorbed business losses of the earlier years, irrespect ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in the case of Goetze (India) Limited (supra). 12. On consideration of the rival submissions, I am of the view that the matter requires reconsideration at the level of the learned CIT (Appeals). The Hon'ble Delhi High Court in the case of CIT Vs. Jai Parabolic Springs Ltd., 306 ITR 42, considering the decision of the Hon'ble Supreme Court in the case of Goetze (India) Limited (supra), held that "there was no prohibition on the powers of the Tribunal to entertain an additional ground, which according to the Tribunal, arose in the matter and for the just decision of the case". Since the issue of carry forward of unabsorbed losses of the earlier years was raised before the learned CIT (Appeals) being an appellate authority, therefore, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is notified in assessment year 2007-08, therefore, it is to be seen whether late return for assessment year 2008-09 has any impact on carry forward of loss/depreciation. This fact has been looked into by the learned CIT (Appeals). Therefore, it also requires verification of fact whether it was brought forwarded losses or brought forward depreciation. In view of the above, I set aside the order of the learned CIT (Appeals) and restore this issue to the file of the learned CIT (Appeals) with direction to redecide this issue on merits strictly in accordance with law by verifying the factual facts from the record and shall also take into consideration the decision of the Hon'ble Punjab & Haryana High Court in the case of Haryana Hotels Ltd ..... X X X X Extracts X X X X X X X X Extracts X X X X
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