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2023 (7) TMI 161 - AT - Income TaxAddition of ‘on money’ - alternative plea of assessee that only percentage of profit can only be taxed from the alleged on-money ranging from 8% to 15% - CIT(A) deleted addition - HELD THAT:- CIT(A) by referring the decision of President Industries [1999 (4) TMI 8 - GUJARAT HIGH COURT] and in Abhishek Corporation [1998 (8) TMI 110 - ITAT AHMEDABAD-C] and took his view that assessee has offered more than 30% of on-money in its return of income. CIT(A) held that over and above of such 30% income cannot be sustained. The declared income of Rs. 1.003 crore is more than 30%. Thus, the ld. CIT(A) deleted the entire addition. We find that in Greenfield Reality P Ltd. [2021 (7) TMI 1134 - ITAT AHMEDABAD] sustained the addition to the extent of 8% on similar issue. In ACIT Vs Shoppers Buildcon Pvt. Ltd. [2022 (5) TMI 459 - ITAT AHMEDABAD] Tribunal upheld the order of ld. CIT(A) in making addition of 20% on similar issue. Considering the consistent view we do not find any infirmity of illegality in the order passed by the ld. CIT(A) which we affirm. Disallowance u/s 40(a)(ia) - assessee has incurred various expenses and made the payment thereof without deducting tax at source - HELD THAT:- CIT(A) after considering the remand report of AO held that during appellate stage, the assessee filed detailed written submissions, which were sent to AO for his comment. No adverse comment is made against the submission of assessee, by AO as found the submission of assessee in order. AO only objected that the assessee furnished additional evidence. CIT(A) held that once the AO is given opportunity to examine the nature of expenses and no adverse comment is made, accordingly, directed the Assessing Officer to delete the disallowance of cutting expenses, development expenses and professional fees. In our view, the ld. CIT(A) has passed the order after giving due opportunity to the AO which we affirm. In the result, ground No. 3 raised by the revenue is also dismissed. Admission of additional evidences by CIT(A) - allegation of violation of Rule 46A of the Income Tax Rules, 1962 - HELD THAT:- AO was given full opportunity to submit his remand report. The Assessing Officer furnished his detailed remand report. Remand report of Assessing officer is referred and considered by the ld. CIT(A) while passing the order on merit. As decided in Dharmdev Finance P Ltd. [2014 (4) TMI 1005 - GUJARAT HIGH COURT] that once remand report was obtained from the AO by giving opportunity to both the parties, there is no violation of Rule 46. No merit in revenue allegation - Decided against revenue.
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