LEO PRIMECOMP PRIVATE LIMITED, CHENNAI V. ITO CORP WARD 4 (2), CHENNAI

ITA 486/CHNY/2018

• Counselvise Citation: [2019] 111 COUNSELVISE.COM (IT) 9183 (ITAT-CHENNAI)
• Duration Of Justice: 1 year(s) 10 month(s) 6 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-12-2019
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: A
• Assessment Year: 2014-2015
• Appeal Filed On: 12-02-2018
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Keywords: Business expenditure
• Section: 201; 13

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH: CHENNAI , . , BEFORE SHRI GEORGE MATHAN, JUDICIAL MEMBER AND SHRI S. JAYARAMAN , ACCOUNTANT MEMBER ./ ITA NO S . 485 & 486 /CHNY/ 201 8 / ASSESSMENT YEAR S : 20 13 - 14 & 2014 - 15 M/S. LEO PRIMECOMP PRIVATE LIMITED, NO.61 & 62, LA KSHMANAN NAGAR, KANDANCHAVADI, CHENNAI 600 096 [PAN: AAACL 1901E ] VS. THE ITO, CORPORATE WARD 4(2) / DCIT, CORPORATE WARD - 4(1) CHENNAI 600 034. ( /APPELLANT) ( /RESPONDENT) / APPELLANT BY : M R . KAUSHIK. M , ADV OCATE /RESPONDENT BY : M R. AR.V.SREENIVASAN, JCIT / DATE OF HEARING : 18 . 1 2 .2019 / DATE OF PRONOUNCEMENT : 18 .12 .2019 / O R D E R PER GEORGE MATHAN, JUDICIAL MEMBER : TH E S E ARE APPEAL S FIL ED BY THE ASSESSEE AGAINST THE ORDER OF THE LEARNED COMMIS SIONER OF INCOME TAX (APPEALS) - 8 , CHENNAI IN APPEAL NOS. I.T.A. NO . 21/16 - 17 DATED 04.01.2018 AND I.T.A. NO.432/16 - 17 DATED 12.12.2017 FOR THE ASSESSMENT YEAR S 20 13 - 14 AND 2014 - 15. 2. MR. KAUSHIK. M , ADVOCATE REPRESENTED ON BEHALF OF THE ASSESSEE AND MR. AR.V.SREENIVASAN, JCIT REPRE SENTED ON BEHALF OF THE R EVENUE . ITA NO S485 & 486 CHNY / 201 8 : - 2 - : 3. THE ONLY ISSUE IN THE ASSESSEES APPEAL IS AGAINST THE ACTION OF THE LEARNED CIT(A) IN CONFIRMING THE DISALLOWANCE OF THE BUSINESS PRO MOTION EXPENSES IN THE COMPUTATION OF THE TAXABLE INCOME. IT WAS FAIRLY AGREED BY BOTH THE SIDES THAT THE ISSUE HAS BEEN RESTORED TO THE FILE OF THE ASSESSING OFFICER FOR THE IMMEDIATE PRECEDING ASSESSMENT YEAR 2012 - 13 IN I.T.A. NO. 640/CHNY/2017 VIDE ORDE R DATED 16.10.2019, WHEREIN IT HAS BEEN HELD AS FOLLOWS: 4. WE HAVE HEARD THE RIVAL SUBMISSIONS AND GONE THROUGH THE RELEVANT MATERIAL ON RECORD. THOUGH THE ASSESSEE HAS PROVIDED STATISTICAL DATA ETC., IT IS SEEN THAT IT HAS NOT FURNISHED THE BASIC REQU IREMENTS LIKE THE NATURE OF THE EXPENDITURE, THE RELEVANCY OF BUSINESS EXPENDITURE ETC. IN THE FACTS AND CIRCUMSTANCES OF THE CASE, WE DEEM IT FIT TO REMIT THIS ISSUE BACK TO THE FILE OF THE ASSESSING OFFICER FOR A FRESH EXAMINATION. SINCE, THE ASSESSEE IS CLAIMING THE EXPENDITURE, THE ONUS IS ON THE ASSESSEE TO LAY ALL MATERIAL IN SUPPORT OF ITS CONTENTION AND EXPLAIN THE NATURE OF EXPENDITURE AND THE BUSINESS EXPEDIENCY ETC. BEFORE THE AUTHORITIES CONCERNED. THEREFORE, THE ASSESSEE SHALL LAY ALL MATERI AL IN SUPPORT OF ITS CONTENTION BEFORE THE ASSESSING OFFICER AND COMPLY WITH THE REQUIREMENTS OF THE ASSESSING OFFICER IN ACCORDANCE WITH LAW. THE ASSESSING OFFICER IS AT LIBERTY TO CONDUCT APPROPRIATE ENQUIRY AS DEEMED FIT, HOWEVER, HE SHALL AFFORD ADEQU ATE OPPORTUNITY TO THE ASSESSEE ON THE MATERIAL ETC., TO BE USED AGAINST IT AND AFTER CONSIDERING THE ASSESSEES REPLY ETC., SHALL PASS AN ORDER IN ACCORDANCE WITH LAW. 4. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS AND PERUSED THE MATERIAL AVAILABLE ON REC ORD. 5. AS IT IS NOTICED THAT THE ISSUES IN THE APPEAL HAS BEEN RESTORED TO THE FILE OF THE ASSESSING OFFICER FOR RE - ADJUDICATION IN THE ASSESSEES OWN CASE FOR THE IMMEDIATE PRECEDING ASSESSMENT YEAR, WITH THE SAME FINDINGS THE ISSUE FOR THE TWO ASSESSME NT YEARS UNDER APPEAL ARE ALSO RESTORED TO THE FILE OF THE ASSESSING OFFICER FOR RE - ADJUDICATION. CONSEQUENTLY, THE APPEALS OF THE ASSESSEE ARE PARTLY ALLOWED FOR STATISTICAL PURPOSES. ITA NO S485 & 486 CHNY / 201 8 : - 3 - : 6 . IN THE RESULT, THE APPEAL S OF THE ASSESSEE ARE PARTLY ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 18 TH DECEMBER , 2019 IN CHENNAI. SD/ - ( . ) ( S. JAYARAMAN ) /ACCOUNTANT MEMBER / CHENNAI, / DATED: 18 TH DECEMBER , 2 019 . IA, SR. P S SD/ - ( ) (GEORGE MATHAN) /JUDICIAL MEMBER / COPY TO: 1. / APPELLANT 2. / RESPONDENT 3. ( ) / CIT(A) 4. / CIT 5. / DR 6. / GF