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2016 (4) TMI 264 - HC - Income TaxRevision orders by CIT(A) - addition on account of the cash deposits - Held that:- In the impugned order proceeds on a factually erroneous basis that there was no response to the notice issued to M/s Enkay Electricals under Section 133(6) of the Act. Although in the impugned order the CIT-XII notes that a confirmation letter of M/s Enkay Electricals was produced, it is not discussed. The appropriate course for the CIT-XII to adopt would have been to provide an opportunity to the Assessee to produce the said party before the CIT-XII to clarify whether the confirmation letter was in fact issued by such party. Addition on account of unconfirmed creditors - Held that:- A reference was made in the impugned order of the CIT-XII to notices issued under Section 133(6) of the Act to the named creditors. The CIT-XII also noted that notices issued to four of the creditors were returned unserved. However, the dates on which the said notices were issued and the dates on which they were returned unserved are not clear. This attains significance since confirmation letters appear to have been issued in November 2011 by those very parties (copies of which have been enclosed with the rejoinder affidavit). Here, again the Court finds that the procedure adopted by the CIT-XII in dealing with the objections of the Assessee is not satisfactory. The CIT-XII appears to have simply repeated the findings of the AO. Thus the Court set asides the impugned order passed by the CIT-XII and restores the Petitioner Assessee's revision petition to the file of the CIT-XII for a fresh hearing uninfluenced by the previous decision of the CIT-XII or by any of the observations in the present order. The CIT-XII will provide the Assessee with a copy of the AO's remand report and also permit the Assessee to produce the parties who have issued confirmation letters in its favour. - Decided in favour of assessee by way of remand.
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