Appeal Details
Counselvise Citation
[2022] 106 COUNSELVISE.COM (IT) 0339 (ITAT-HYDERABAD)
Assessee PAN
Bench
Appeal Number
Duration Of Justice
1 year(s) 10 month(s) 27 day(s)
Appellant
Respondent
Appeal Type
Income Tax Appeal
Pronouncement Date
09-01-2022
Appeal Filed By
Assessee
Order Result
PartlyAllowed
Bench Allotted
DB-B
Assessment Year
2014-2015
Appeal Filed On
12-02-2020
Judgement Text
IN THE INCOME TAX APPELLATE TRIBUNAL Hyderabad ‘ B ‘ Bench, Hyderabad (Through Video Conferencing) Before Shri S.S. Godara, Judicial Member AND Shri Laxmi Prasad Sahu, Accountant Member O R D E R Per S. S. Godara, J.M. This assessee’s appeal for A.Y. 2014-15 arises from the Commissioner of Income Tax (Appeals) – 4, Hyderabad’s, order dated 25.11.2019 in 10419/16-17/ITO, Wd-16(2), Hyd./CIT(A)-4/Hyd/19-20 involving proceedings u/s. 143(3) of the Income Tax Act, 1961 [in short, ‘the Act’]. Heard both the parties. Case file perused. ITA No.199/Hyd/2020 Assessment Year: 2014-15 Prapurna Trading Private Limited, Hyderabad. PAN : AAFCP8982J. Vs. The Income Tax Officer, Ward-16(2), Hyderabad. (Appellant) (Respondent) Assessee by: Shri K. A Sai Prasad for C.S. Subramanyam Revenue by : Shri Rohit Mujumdar Date of hearing: 06.01.2022 Date of pronouncement: 10.01.2022 ITA No.199/Hyd/2020 2 2. The assessee’s first and foremost substantive grievance challenging correctness of both the lower authorities’ action treating unaccounted loans involving three parties as unexplained cash credits u/s 68 of the Act. 3. Suffice to say, it emerges from a perusal of the CIT(A)’s order in para 5.1 Page 4 that although the Assessing Officer’s remand report had rejected assessee’s claim but there is no indication as to whether the latter authority had afforded sufficient opportunities to the latter for proving identity, genuineness and creditworthiness in remand proceedings or not. We therefore deem it appropriate to restore the instant former substantive ground back to the Assessing Officer for his afresh adjudication as per law within three effective opportunities of hearings. Ordered accordingly. 4. Next comes the latter issue of 10% adhoc disallowance of purchases and fuel to the tune of Rs.10,05,539/- made in both the lower proceedings. The fact remains that neither the assessee has been able to prove the impugned expenditure to have been incurred wholly and exclusively for the purpose of its business nor the department has been able to justify the same on higher side. We thus deem it appropriate to restore the impugned 10% disallowance of the latter @ 5% with the rider that the same shall not be treated as a precedent in any other assessment year. Ordered accordingly. ITA No.199/Hyd/2020 3 5. This assessee’s appeal is partly allowed in above terms. Order pronounced in the Open Court on 10 th January, 2022. Sd/- Sd/- (LAXMI PRASAD SAHU) ACCOUNTANT MEMBER (S.S. GODARA) JUDICIAL MEMBER Hyderabad, dated 10 th January, 2022. TYNM/sps Copy to: S.No Addresses 1 Prapurna Trading Private Limited, 2-159/9, Prapurna Enclave, Jeedimetla, Medchal Road, Hyderabad – 500055, Telangana. 2 The Income-Tax Officer, Ward-16(2), Hyderabad. 3 CIT – (Appeals) – 4, Hyderabad. 4 Pr.CIT-4, Hyderabad. 5 DR, ITAT Hyderabad Benches 6 Guard File By Order
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