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2020 (2) TMI 1271 - ITAT MUMBAIOutstanding liability of gift vouchers disallowed - Method of Accounting adopted by the Appellant to determine its liability on account of gift vouchers - HELD THAT:- Disallowance of the outstanding liability of ‘gift vouchers’ in the case of the assessee was supposed to be restricted only to the extent the same were found to be more than 3 years old. Accordingly, we direct the A.O to restrict the disallowance in respect of the ‘gift vouchers’ on the same basis as had been adopted by the Tribunal while disposing off the appeal of the assessee for A.Y. 2008-09. Although, the ld. A.R in the course of the hearing of the appeal had furnished a ‘chart’ therein working out the value of the ‘gift vouchers’ outstanding for more than 3 years, however, in the absence of any supporting documentary evidence the same cannot be summarily accepted on the very face of it. Assessee is directed to furnish the working of the details of the ‘gift vouchers’ which are outstanding for more than 3 years on the basis of supporting documentary evidence in the course of the ‘set aside’ proceedings before the A.O. As such, the matter is restored to the file of the A.O for the limited purpose of giving effect to our aforesaid observations. Needless to say, the A.O shall in the course of the ‘set aside’ proceedings afford a reasonable opportunity of being heard to the assessee. Accordingly, the order passed by the CIT(A) is ‘set aside’ in terms of our aforesaid observations. The Ground of appeal No. 1 to 3 are allowed for statistical purposes.
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