SRI ALAGENDRA AUTOMOBILES P. LTD,MADURAI V. DCIT, MADURAI

ITA 1246/CHNY/2024

AI Insights

The case involves Sri Alagendra Automobiles P. Ltd., which appealed against the order of the Commissioner of Income Tax (Appeals), National Faceless Appeal Centre, Delhi. The appeal was against the addition of Rs. 6,24,682 to the assessee's income, as per the intimation under section 143(1) of the Income-tax Act, 1961, by CPC, Bengaluru. The assessee argued that due to a technical glitch, the profit and loss figures were not correctly reflected in the return, although they were accurately reported in the Form 3CD. The CIT(A) dismissed the appeal, leading to the current appeal before the Tribunal.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 107272 (ITAT-CHENNAI)
• Duration Of Justice: 5 month(s) 21 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 17-10-2024
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: C
• Next Hearing Date: 17-10-2024
• Assessment Year: 2022-2023
• Appeal Filed On: 26-04-2024
• Laws Referred To: Income-tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: R.ANITA
• Assessee Lawyers: J. SARAVANAN
• Keywords: Set aside; Depreciation
• Section: 143(1)

Judgement Text

"आयकर अपीलीय अिधकरण, ‘सी’ \u0011ा यपीठ, चे\u0016ई। IN THE INCOME TAX APPELLATE TRIBUNAL ‘C’ BENCH: CHENNAI \u0019ी महा वीर िसंह, उपा \u001f एवं \u0019ी जगदीश, लेखा सद' क े सम BEFORE SHRI MAHAVIR SINGH, VICE PRESIDENT AND SHRI JAGADISH, ACCOUNTANT MEMBER आयकर अपील सं./ITA No.1246/Chny/2024 िनधा 9रण वष9 /Assessment Year: 2022-23 Sri Alagendra Automobiles P. Ltd., 177/1, North Veli Street, Madurai – 625 001. Vs. The Dy. Commissioner of Income Tax, Non-Corporate Circle-1, Madurai. [PAN: AACCA 2289C] (अपीलाथ\u0007/Appellant) (\b\tयथ\u0007/Respondent) अपीला थF की ओर से/ Appellant by : Shri J. Saravanan, Advocate HIथF की ओर से /Respondent by : Ms. R. Anita, Addl. CIT सुनवा ई की ता रीख/Date of Hearing : 17.10.2024 घोषणा की ता रीख /Date of Pronouncement : 17.10.2024 आदेश / O R D E R PER JAGADISH, A.M : Aforesaid appeal filed by the assessee is against the order of Learned Commissioner of Income Tax, Appeal, National Faceless Appeal Centre (NFAC), Delhi [hereinafter “CIT(A)”] dated 29.02.2024 confirming the addition of Rs. 6,24,682/- in the intimation u/s. 143(1) of the Income-tax Act, 1961 (hereinafter “the Act”) passed by CPC, Bengaluru. ITA No.1246/Chny/2024 :- 2 -: 2. The assessee has filed return of income of 09.10.2022 showing total income at Nil. The CPC, Bengaluru has computed the total income at Rs. 6,24,682/-. The assessee has contended that in the return of income ITR 6 filed, the assessee has entered the figure of gross profit of Rs 6,24,682 in Part A – Trading Account , but the gross profit has not been carried forward to next schedule Part-A P&L and administrative, depreciation and other expenses omitted due to connectivity issue and the CPC has wrongly taken income at Rs.6,24,282/- without considering the Form 3CD report, where the assessee has shown a loss of Rs. 17,38,729/-. On appeal, the Ld. CIT(A) has dismissed the appeal as the CPC has processed the return based on the entry available in ITR. 3. The Ld. Authorized Representative (A.R) of the assessee has argued that the Ld. CIT(A) has failed to appreciate that due to technical glitch, the figure typed by the assessee in the profit and loss account was not reflected in the ITR. However, the same were available in the profit and loss account enclosed with the Form 3CD. The Ld. AR therefore, requested that the case may be set aside to the A.O for re-processing the return. ITA No.1246/Chny/2024 :- 3 -: 4. The Ld. Departmental Representative (DR), on the other hand, relied on the orders of lower authorities. 5. We have heard the rival submissions, and perused the materials available on record. The CPC, Bengaluru has processed the return based on the entry in ITR, without considering the profit and loss account and Form 3CD filled along with the return. The CPC has taken all figures at Nil filled by assessee and taking gross profit as total income. We are of the opinion that matter should be sent back to AO to process the return after considering the profit and loss and Form 3CD filled by assessee. The AO may call for any other information required from assessee to process the return. 6. In the result, the appeal filed by the assessee is allowed for statistical purposes. Order pronounced in the open Court on 17th October, 2024. Sd/- Sd/- (महा वीर िसंह) (Mahavir Singh) उपा \u001f / Vice President (जगदीश) (Jagadish) लेखा लेखा लेखा लेखा सद\u0003य सद\u0003य सद\u0003य सद\u0003य /Accountant Member चे\u0003ई/Chennai, \u0005दनांक/Dated: 17th October, 2024. EDN/- ITA No.1246/Chny/2024 :- 4 -: आदेश क\u0002 \u0003ितिलिप अ\tेिषत/Copy to: 1. अपीलाथ\u0007/Appellant 2. \b\tथ\u0007/Respondent 3. आयकर आयु\u000f/CIT, Madurai 4. िवभागीय \bितिनिध/DR 5. गाड\u0018 फाईल/GF "