ACIT, V. M/s Enzol Lubricants Pvt Ltd.,

ITA 148/RAN/2014

• Counselvise Citation: [2014] 120 COUNSELVISE.COM (IT) 8589 (ITAT-RANCHI)
• Duration Of Justice: 7 month(s) 13 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-12-2014
• Appeal Filed By: Department
• Bench Allotted: DB
• Assessment Year: 2006-2007
• Appeal Filed On: 21-04-2014
• Court: TRIBUNAL
• Assessee Lawyers: VINAY KR JALANFCS
• Section: 144

Judgement Text

1 ITA NO.148/RAN/2014 N/S. ENZOL LUBRICANTS P.LTD INCOME TAX APPELLATE TRIBUNAL, CIRCUIT BENCH, RANCHI BEFORE HON'BLE SHRI H.L. KARWA, PRESIDENT , AND HON'BLE SHRI B.R. BASKARAN, ACCOUNTANT MEMBER ITA NO . 148/RAN/2014 A.Y 200 6 - 07 A.C.I.T, CIR - 1,RANCHI V S. M/S. ENZOL LUBRICANTS P.LTD PAN AAACE 3580A [ APPELLANT ] [ RESPONDENT ] FOR THE APPELLANT: SH. SHRI DEEPAK ROSHAN, SENIOR S.C/LD.DR FOR THE RESPONDENT /ASSESSEE : SHRI VINAY KR. JALAN,FCS DATE OF HEARING : 04 - 12 - 2014 DATE OF PRONOUNCEMENT: 04 - 12 - 2014 ORDER SHRI B.R. BASKARAN, ACCOUNTANT MEMBER : THE REVENUE HAS FILED THIS APPEAL CHALLENGING THE ORDER DATED 28 - 01 - 2014 PASSED BY LD CIT(A), RANCHI AND IT RELATES TO THE ASSESSMENT YEAR 2006 - 07. THE REVENUE IS AGGRIEVED BY THE DECISION OF LD CIT(A) IN REDUCING THE ADDITION OF RS.52,77,630/ - RELATING TO LIASIONING AND COMMISSION EXPENSES TO RS.2,26,600/ - . 2. WE HEARD THE PARTIES AND PERUSED THE RECORD. WE NOTICE THAT THE ASSESSING OFFICER HAS PASSED THE ASSESSMENT ORDER FOR THE YEAR UNDER CONSIDERATION TO THE BEST OF HIS JUDGEMENT U/S 144 OF THE ACT, MEANING THEREBY, THE ASSESSEE DID NOT FURNISH ANY DETAIL TO THE ASSESSING OFFICE R. WHILE COMPLETING THE ASSESSMENT, THE ASSESSING OFFICER HAS DISALLOWED THE AMOUNT OF RS.52,77,630/ - CLAIMED BY THE ASSESSEE AS LIASIONING AND COMMISSION EXPENSES . HOWEVER, THE ASSESSEE HAS FURNISHED CERTAIN DETAILS BEFORE LD CIT(A) AND ON THE BASIS O F THOSE DETAILS, THE LD CIT(A) REDUCED THE DISALLOWANCE TO RS.2,26,600/ - . AS POINTED OUT LD D.R, WE 2 ITA NO.148/RAN/2014 N/S. ENZOL LUBRICANTS P.LTD NOTICE THAT THE LD CIT(A) DID NOT CALL FOR REMAND REPORT FROM THE ASSESSING OFFICER ON THE NEW EVIDENCES FURNISHED BEFORE HIM BY THE ASSESSEE. THUS, WE NO TICE THAT THERE IS VIOLATION OF RULE 46A OF THE IT RULES. 3. THE LD A.R, HOWEVER, SUBMITTED THAT THE ASSESSEE HAS BEEN RECURRING SIMILAR KIND OF EXPENSES EVERY YEAR AND IN THE SUCCEEDING YEAR, THE ASSESSING OFFICER HAS EXAMINED THE SAME EXHAUSTIVELY. HOWEVER, EACH ASSESSMENT YEAR BEING DIFFERENT, THE CONTENTION OF THE LD A.R COULD NOT HELP THE ASSESSEE. SINCE THE LD CIT(A) HAS TAKEN HIS DECISION WITHOUT CONFRONTING THE EVIDENCES TO THE ASSESSING OFFICER, WE ARE UNABLE TO SUSTAIN HIS ORDER. IN OUR VIE W, THE SAID EVIDENCES NEED TO BE EXAMINED BY THE AO. ACCORDINGLY, WE SET ASIDE THE ORDER OF LD CIT(A) ON THIS ISSUE AND RESTORE THE MATTER TO THE FILE OF THE ASSESSING OFFICER WITH THE DIRECTION TO EXAMINE THIS ON THE BASIS OF EVIDENCES FURNISHED BY THE A SSESSEE AND TAKE APPROPRIATE DECISION IN ACCORDANCE WITH THE LAW. THE ASSESSEE IS ALSO DIRECTED TO EXTEND FULL CO - OPERATION TO THE ASSESSING OFFICER. 4. IN THE RESULT, THE APPEAL FILED BY THE REVENUE IS TREATED AS ALLOWED FOR STATISTICAL PURPOSES. PRONOUNCED ACCORDINGLY ON 04 - 12 - 2014 SD/ - SD/ - [ H.L. KARWA ] [ B.R. BASKARAN ] PRESIDENT ACCOUNTANT MEMBER DT. 04 - 12 - 2014 PLACE : RANCHI PP, SR. PS 3 ITA NO.148/RAN/2014 N/S. ENZOL LUBRICANTS P.LTD COPY OF THE ORDER FORWARDED TO: 1. THE APPELLANT : 2 THE RESPONDENT: 3..THE CIT, 4.THE CIT(A), 5.DR, ITAT CIRCUIT BENCH, RANCHI 6. GUARD FILE. TRUE COPY, BY ORDER, ASSTT. REGISTRAR 1. DATE OF DICTATION ............. ORDER DRAFTED BY THE MEMBER IN HIS LAPTOP ..................... 4 ITA NO.148/RAN/2014 N/S. ENZOL LUBRICANTS P.LTD 2. DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE DICTATING MEMBER ........................OTHER MEMBER .......................... ..... 3. DATE ON WHICH THE APPROVED DRAFT COMES TO THE SR. P.S./P.S. ..................... 4. DATE ON WHICH THE FAIR ORDER IS PLACED BEFORE THE DICTATING MEMBER FOR PRONOUNCEMENT.................................. 04 - 12 - 2014 .................................. ................. 5. DATE ON WHICH THE FAIR ORDER COMES BACK TO THE SR. P.S./P.S ................ 6. DATE ON WHICH THE FILE GOES TO THE BENCH CLERK ....................................... 7. DATE ON WHICH THE FILE GOES TO THE HEAD CLERK ................... ...................... 8. THE DATE ON WHICH THE FILE GOES TO THE ASSISTANT REGISTRAR FOR SIGNATURE ON THE ORDER ................................................................................................. 9. DATE OF DESPATCH OF THE ORDER ............. .................................................