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2011 (3) TMI 1043 - DELHI HIGH COURTRe-assessment order - bogus purchase of machinery - deleting the depreciation allowed on the aforesaid machinery - grievance of the assessee was that the copy of the statement of Mr. Viren Ahuja, on the basis of which addition was made, was not supplied to the assessee by the AO and no oppurtunity for cross examine - Held that:- As it is clear that the CIT(A) as well as ITAT have arrived at a finding of fact, that too, on the basis of remand report submitted by the Assessing Officer himself that machinery was in fact purchased by the assessee.Detailed discussion in this order also confirmed transportation of the machinery from the factory of the supplier to the factory of the assessee where the machinery was installed. The ITAT has given an additional ground to set aside the order, namely, that Mr. Viren Ahuja was not even produced for cross-examination. As the actual statement of Mr. Viren Ahuja has not been produced on record & as it appears from the orders of the authorities below that Mr. Viren Ahuja had not disputed the supply of the machinery to the assessee. In fact he had stated that the machinery supplied to the assessee was not manufactured by the supplier itself and the benefit under section 80-IA was wrongly claimed by the said supplier and it is only on that account that the supplier had approached the Settlement Commission. Therefore, merely the fact that the supplier had gone to the Settlement Commission would not be of any relevance inasmuch the issue before the Settlement Commission was entirely different which pertain to the benefit wrongly availed by the supplier under section 80-IA of the Act - no question of law arises.
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