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TMI Blog2021 (11) TMI 750X X X X Extracts X X X X X X X X Extracts X X X X ..... n would be to call for the remand report from Assessing Officer by keeping the appeal pending. CIT(A) exercised the second option which undoubtedly could go to save a lot of time in the matter of completion of the assessment. Upon direction being issued by the CIT(A) calling for a remand report, the Assessing Officer before us treated the matter with more seriousness and after thorough factual exercise reported that genuineness and creditworthiness of the share applicants have been established. In absence of any material available with the revenue to discard the remand report we find the CIT(A) was fully justified in accepting the remand report in deleting the addition. Tribunal has also re-examined the facts and rightly accepted the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ing Officer was in consonance with the provision of Section 250(4) of Income Tax Act, 1961 read with Rule 46A of Income Tax Rules, 1962? (c) Whether on the facts and in the circumstances of the case conclusion arrived at by the Learned Tribunal in dismissing the Appeal of the revenue, is perverse ? The assessee filed its return to Income Tax on 8th November, 2006 for the assessment year under consideration 2005-2006. The case was selected for scrutiny and notice under Section 143(2) of the Act was issued. However, notices were issued in terms of Section 142(1) of the act along with the questionnaire. It appears that the inspector of the Income Tax Department attempted to serve notice, but failed to serve notice at the address, which i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed that as per the Income Tax return filed by the assessee the details of the directors along with the address were available with the Assessing Officer and the Assessing Officer could have contacted the directors of the company to ensure compliance of the direction issued in the notices. Further assessee contended that the entire details about assessee company was available on the website and no attempt was made by the Assessing Officer to contact the assessee and resorting to service of notice by affixation is erroneous. The CIT(A) on facts found that Assessing Officer did not make any serious attempt to service notices on the assessee and also accepted the submissions made on behalf of the assessee that though it is alleged that notices ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n by the CIT(A) as the appeal filed by the assessee was allowed taking note of the remand report submitted by the Assessing Officer, who in no uncertain terms has stated that the creditworthiness of the share applicants and the genuineness of the transactions stood established. Therefore, the Tribunal upheld the view taken by CIT(A) holding that CIT (A) was fully justified in deleting the addition considering the facts and circumstances of the case. Furthermore, the Tribunal observed that CIT (A) was right in its observation that Assessing Officer did not make attempt to serve notice on the assessee and completed the assessment hurriedly, presumably due to the fact that assessment was getting time barred. Before us the Learned Counsel for t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rection being issued by the CIT(A) calling for a remand report, the Assessing Officer before us treated the matter with more seriousness and after thorough factual exercise reported that genuineness and creditworthiness of the share applicants have been established. In absence of any material available with the revenue to discard the remand report we find the CIT(A) was fully justified in accepting the remand report in deleting the addition. The decision in TIN BOX COMPANY (supra) may not be of assistance to the revenue which is a decision wherein the question was whether an opportunity afforded to an assessee at the appellate level would be sufficient opportunity and it was held that the opportunity at the appellate level cannot be a subst ..... X X X X Extracts X X X X X X X X Extracts X X X X
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