Balasore Marine Exports Private Limited, Balasore V. Asst. CIT(Central Circle), Cuttack

ITSSA 75/CTK/2023

• Counselvise Citation: [2023] 100 COUNSELVISE.COM (IT) 6638 (ITAT-CUTTACK)
• Duration Of Justice: 2 month(s) 2 day(s)
• Appeal Type: Income Tax (Search & Seizure) Appeal
• Pronouncement Date: 10-10-2023
• Appeal Filed By: Assessee
• Order Result: PartlyAllowed
• Bench Allotted: DB
• Next Hearing Date: 10-10-2023
• Assessment Year: 2016-2017
• Appeal Filed On: 07-08-2023
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Unexplained expenditure; Opportunity of being heard

Judgement Text

आयकर अऩीऱीय अधधकरण, कटक न्यायऩीठ,कटक IN THE INCOME TAX APPELLATE TRIBUNAL CUTTACK BENCH CUTTACK (THROUGH VIRTUAL HEARING) श्री जाजज माथन, न्याययक सदस्य एवं श्री राजेश क ु मार, ऱेखा सदस्य के समक्ष । BEFORE SHRI GEORGE MATHAN, JUDICIAL MEMBER AND SHRI RAJESH KUMAR, ACCOUNTANT MEMBER IT(SS)A N o.75/C TK /2023 (ननधाारण वषा / Asses s m ent Year : 2016-2 017) Balasore Marine Exports Pvt. Ltd. Plot No.19/A, Ganeshwarpur Industrial Estate, Balasore-756019 Vs , Central Circle, Cuttack PAN No. :AADCB 7309 M (अऩीऱाथी /Appellant) .. (प्रत्यथी / Respondent) ननधााररती की ओर से /Assessee by : Shri D.Parida, CA राजस्व की ओर से /Revenue by : Shri Dr. Abani Kanta Nayak, CIT-DR स ु नवाई की तारीख / Date of Hearing : 11/10/2023 घोषणा की तारीख/Date of Pronouncement : 11/10/2023 आदेश / O R D E R Per Bench : This is an appeal filed by the assessee against the order of the ld. CIT(A)-2, Bhubaneswar, dated 25.05.2023, passed in I.T.Appeal No.Bhubaneswar-2/10396/2015-16 for the assessment year 2016-2017. 2. It was submitted by the ld. AR that the only issue in assessee’s appeal was in respect of an addition of Rs.35,00,000/- made on account of unexplained expenditure u/s.6C of the Act. It was the submission that in the course of the assessment, the AO had made addition of Rs.4,65,91,570/- in respect of payments made to Sri Maniklal Sahoo, which was treated as inflated expenses being inflation of cost and purchase during the year. It was the submission that the assessee is an individual derives income from the business of selling fish and fish-feeds. It was submitted that on appeal, the ld. CIT(A) considered this issue and IT(SS)A No.75/CTK/2023 2 in para 5.6 of his order, the ld. CIT(A) had deleted the addition of Rs.4,65,91,570/-. However, after deleting the said addition the ld. CIT(A) proposed an addition of Rs.35 lakhs treating the same as unexplained expenditure u/s.69C of the Act without making any clarity to the addition. It was the submission that the amount of Rs.35 lakhs had not been made by the AO and the addition as made by the ld. CIT(A) is in fact an enhancement on which the ld. CIT(A) has not heard the assessee. It was the submission that he has no objection if the issues in this appeal are restored to the file of ld. CIT(A) for readjudication. 3. In reply, ld. CIT-DR did not raise any serious objection in restoring the matter back to the file of ld. CIT(A) for readjudication. 4. We have considered the rival submissions. As it is noticed that the addition of Rs.35 lakhs as confirmed by the ld. CIT(A) does not have any clarity in respect of the facts and as it is noticed that the assessee has not been issued a show cause notice in respect of the said addition, therefore, the issues are restored to the file of ld. CIT(A) for readjudication after grating the assessee adequate opportunity of being heard. 5. In the result, appeal of the assessee is partly allowed for statistical purposes. Order dictated and pronounced in the open court on 11/10/2023. Sd/- (राजेश क ु मार) (RAJESH KUMAR) Sd/- (जाजज माथन) (GEORGE MATHAN) ऱेखा सदस्य/ ACCOUNTANT MEMBER न्यानयक सदस्य / JUDICIAL MEMBER कटक Cuttack; ददनाांक Dated 11/10/2023 Prakash Kumar Mishra, Sr.P.S. IT(SS)A No.75/CTK/2023 3 आदेश की प्रनतलऱपऩ अग्रेपषत/Copy of the Order forwarded to : आदेशान ु सार/ BY ORDER, (Assistant Registrar) आयकर अऩीऱीय अधधकरण, कटक/ITAT, Cuttack 1. अऩीऱाथी / The Appellant- Balasore Marine Exports Pvt. Ltd. Plot No.19/A, Ganeshwarpur Industrial Estate, Balasore-756019 2. प्रत्यथी / The Respondent- ACIT, Central Circle, Cuttack 3. आयकर आय ु क्त(अऩीऱ) / The CIT(A), 4. आयकर आय ु क्त / CIT 5. ववभागीय प्रयतयनधध, आयकर अऩीऱीय अधधकरण, कटक / DR, ITAT, Cuttack 6. गार्ज पाईऱ / Guard file. सत्यावऩत प्रयत //True Copy//