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2016 (12) TMI 49 - AT - Income TaxEnhancement of income - powers of CIT(A) - Held that:- As far as the issue of enhancement of income by the Ld. CIT (A) is concerned, as in the case of CIT vs. Sardari Lal & Company [2001 (9) TMI 1130 - Delhi High Court] has held that CIT (A) has no power to direct the AO to bring to tax a new source of income, which is not considered by the AO in the order appealed against him. The Hon’ble Delhi High Court observed that wherever the question of taxability of income from a new source of income is concerned, which has not been considered by the AO, the jurisdiction to deal with the same in appropriate cases may be dealt with u/s 147/148 and section 263 if the requisite conditions are fulfilled. The Hon’ble High Court further observed that in presence of such specific provisions, the CIT (A) does not have the power to tax a new source of income not considered by the AO in the order of assessment which was appealed against before him. In coming to this finding the Hon’ble Delhi High Court approved its own decision in the case of CIT vs. Union Tyre (1999 (9) TMI 81 - DELHI High Court) and CIT vs. Shapoorji Pallonji Mistry (1962 (2) TMI 12 - SUPREME Court ) and CIT vs. Rai Bahadur Hardutroy Motilal Chamaria (1967 (4) TMI 8 - SUPREME Court). Thus we hold that the Ld. CIT (A) did not have the power to enhance the income of the assessee in the instant case and the enhancement made by him is beyond the powers conferred upon him by the statute. -Decided in favour of assessee
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