ITAT directed assessee to file fresh evidence before CIT(A)
ITAT directed assessee to file fresh evidence before CIT(A)
Assessee filed return declaring a total income of Rs.2,85,547, after a search. AO noted receipt in assessee's bank account for purchase and sales of securities/shares, and profit received from a company, which the assessee had failed to reflect in its return. AO made additions, and CIT(A) confirmed. ITAT set aside the additions and directed assessee to file fresh evidence before CIT(A) to support its claims.-501142
1. A search and seizure u/s 132 (of Income Tax Act, 1961) was carried out at the residential premises of the assessee alongwith in the Monnet Group of cases. In response to the notice, the assessee as per the assessment order is found to have filed a return declaring a total income of Rs.2,85,547/-. Thereafter a notice was issued. The AO noted that the assessee was deriving income mainly from "salary"; "short term capital gain" and "other sources" etc. Considering the fact that the assessee in its bank account had received certain amount from M/s Shripati Trading Co. on account of purchase and sales of securities /shares which the assessee had failed to reflect in its return of income filed the addition has been made.Similarly it was also found that profit received from M/s Dyna Securities Ltd. duly credited in the bank of the assessee also was found not to have been declared in the assessee's returned income. Accordingly additions were made on this count also in the year under consideration.
2. CIT(A) confirmed the additiones.
3. On appeal, the ITAT held as under:
"4. Accordingly considering the peculiar facts and circumstances of the case and after hearing the Ld. Sr. DR who placed reliance on the impugned order, I am of the view that in the interests of substantial justice it would be appropriate to set aside the consolidated impugned order for each of the years as evidently relevant material in support of the grounds raised for want of proper advise etc. has not been placed on record. Accordingly, opportunity to do so is provided to the assessee.
The assessee is directed to approach the CIT(A) with an appropriate petition seeking admission of fresh evidences and supporting its claim as per facts on record as to why the evidences were not filed before the AO.
5. In view of the afore-mentioned peculiar facts and circumstance, the impugned orders are set aside and the issues in each of these years are restored back to the file of the CIT(A) with the direction to pass a speaking order in accordance with law considering the admissibility of the petition under Rule 46A (of Income Tax Rules, 1962) which the assessee is given liberty to file before the said authority. Needless to say that reasonable opportunity of being heard is to be granted to the assessee. It may not be out of place to make it clear that it is hoped that the opportunity being provided is gainfully utilized by the assessee and the assessee does not abuse the trust reposed in good faith. As failing which the Ld.CIT(A) would be at liberty to pass a speaking order in accordance with law on the basis of material available on record.”
Case Reference - V.N.Kedia, vs DCIT,
IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH: 'SMC-I' NEW DELHI
BEFORE SMT DIVA SINGH, JUDICIAL MEMBER
I.T.A .Nos.-6600 to 6605/Del/2015
(ASSESSMENT YEARs-2005-06, 2006-07,
2007-08, 2008-09, 2009-10, 2011-12)
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