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2020 (3) TMI 785 - AT - Income TaxRestoration of cross objection appeal - Dismissal of appeal of the revenue on low tax effect - consequently cross objections filed by the assessee were also dismissed - HELD THAT:- As rightly contended on behalf of the Assessee, the grounds raised in the CO are independent of the appeal filed by the Revenue and therefore such a cross objection cannot be dismissed simply on the ground of dismissal of the appeal by the revenue involving low tax effect. The residential premises of the Assessee was searched u/s. 132 of the Act on 26.10.2007. An order of assessment dated 31.12.2017 was passed by the AO. The Assessee had filed return of income in response to notice u/s.153A of the Act declaring income of ₹ 24,06,380/-. In the assessment order, the AO computed by making addition of ₹ 94,105 as income from House Property not declared, ₹ 56,17,005 being unexplained investment in purchase of jewellery as per seized document and ₹ 25,52,000 being unexplained cash remittances to bank account u/s.69. In respect of addition of ₹ 56,17,005, the CIT(A) sustained the addition made by the AO against which the Assessee has filed cross objection before the Tribunal. The addition of ₹ 25,52,000 was deleted by the CIT(A) against which the revenue filed appeal before the Tribunal but that appeal was dismissed for low tax effect. Therefore the issue to be decided in the CO was an issue independent of the appeal filed by the Revenue. In such cases, the CO cannot be dismissed simply on the ground of dismissal of the appeal by the revenue involving low tax effect. The decision of the ITAT Delhi Bench in the case of Ajay Kalia [ 2016 (2) TMI 165 - ITAT DELHI] supports the plea of the Assessee. We therefore recall the orde in so far as it relates to dismissal of CO as infructuous and direct that the said CO will be heard and decided on merits. - Decided in favour of assessee
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