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TMI Blog2019 (11) TMI 582X X X X Extracts X X X X X X X X Extracts X X X X ..... re the authorities. Therefore, it will be appropriate to remand back this issue to the file of the Assessing Officer. Addition of donation - HELD THAT:- AO as well as the CIT(A) has not taken the cognizance of the details relating to the donations and merely on the presumptions disallowed. Therefore, it will be appropriate to remand back this issue to the file of the Assessing Officer for further adjudication. Needless to say, the assessee be given opportunity of hearing by following principles of natural justice. Hence Ground Nos. 5 and 6 are partly allowed for statistical purpose. Disallowance on account of 10% of conveyance expenses being of personal nature - HELD THAT:- It is pertinent to note that the assessee submitted the details of the traveling and conveyance expenses, but the same was not verified by the Assessing Officer. Therefore, it will be appropriate to remand back this issue to the file of the Assessing Officer. Needless to say, the assessee be given opportunity of hearing by following principles of natural justice. Hence Ground Nos. 7 and 8 are partly allowed for statistical purpose. Disallowance on account of interest on TDS - HELD THAT:- It is per ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... count of 10% of telephone expenses being of personal nature is bad in law and against the facts and circumstances of the case. 5. That having regard to the facts and circumstances of the case, Ld. CIT(A) has erred in law and on facts in confirming the action of Ld. AO in making disallowance of ₹ 2,251/- on account of donations and that too by recording incorrect facts and findings and without giving adequate opportunity of hearing. 6. That in any case and in any view of the matter, action of Ld. CIT(A) in confirming the action of Ld. AO in making disallowance of ₹ 2,251/- on account of donations is bad in law and against the facts and circumstances of the case. 7. That having regard to the facts and circumstances of the case, Ld. CIT(A) has erred in law and on facts in confirming the action of Ld. AO in making disallowance of ₹ 22,397/- on account of 10% of conveyance expenses being of personal nature and that too by recording incorrect facts and findings and without giving adequate opportunity of hearing. 8. That in any case and in any view of the matter, action of Ld. CIT(A) in confirming th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d deals in contract line from various years. Return of income in this case was filed on 28.09.2011 declaring income at 28,42,500/-. The return of income was processed u/s 143(1) of the Income Tax Act, 1961. Subsequently the case was selected for scrutiny under CASS. First notice u/s 143(2) was issued on 01.08.2012 which was served upon the assessee within the stipulated statutory period. Further notices u/s 142(1) along with detailed questionnaires were issued to the assessee. In response Authorised Representative of the assessee attended the assessment proceedings from time to time with whom the case was discussed in detail. During the year under consideration assessee has done the Civil Contract work of Noida, G.D.A., U.P.R.N.N Wood hill etc. The firm comprising four partners having profit share ratio of 40%, 35%, 15% and 10% . The assessee was asked to submit comparative chart of GP/ NP ratio for the current assessment year and the previous assessment years. The chart was submitted by the assessee. During the year under consideration the assessee has shown net profit of ₹ 21,66,527/- on gross receipts of 5,40,17,890/- thereby showing net profit rate of 5.86%. There is a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ment was supplied by M/s Nirmal Cement Store during the year, for which Confirmation of Ledger A/c was confirmed by the Prop. Ms. Nirmali Agarwal. The Ld. AR submitted that the said confirmation was furnished before the Assessing Officer during the assessment proceedings alongwith connected Bills, but unfortunately the Cash Paid has been mentioned by Pencil on Bills inadvertently. The Ld. AR submitted that the assessee did not make the payment in cash to M/s Nirmal Cement Store except two payments through cheques as mentioned. This fact was also admitted by putting the signature of Nirmala Aggarwal Prop. M/s Nirmal Cement Store in the ledger Account at the time of her confirmation. The Ld. AR further submitted that the assessee furnished various documents as demanded by the Assessing Officer from time to time and co-operating the department since the fixation of the case. As there is no payments to Nirmal Cement Store except to the extent of ₹ 24435/- during the period relevant for A.Y 2011-2012, there is no case for disallowance of any amount U/s 40A(3)of the Act. 7. The Ld. DR relied upon the assessment order as well as the order of the CIT(A). ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the donation has been disallowed just on presumption. 10. The Ld. DR relied upon the Assessment Order and the order of the CIT(A). 11. We have heard both the parties and perused all the relevant material available on record. The Assessing Officer as well as the CIT(A) has not taken the cognizance of the details relating to the donations and merely on the presumptions disallowed. Therefore, it will be appropriate to remand back this issue to the file of the Assessing Officer for further adjudication. Needless to say, the assessee be given opportunity of hearing by following principles of natural justice. Hence Ground Nos. 5 and 6 are partly allowed for statistical purpose. 12. As regards to Ground Nos. 7 and 8, relating to disallowance of ₹ 22,397/- on account of 10% of conveyance expenses being of personal nature, the Ld. AR submitted that the Assessing Officer disallowed a sum of ₹ 22397/- out of total of such expenses at ₹ 223974/-. The only reason given for the disallowance is for personal use of traveling conveyance Expenses. The Ld. AR submitted that the assessee furnished complete details of such expenses. A ..... X X X X Extracts X X X X X X X X Extracts X X X X
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