Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2017 (12) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2017 (12) TMI 880 - ITAT KOLKATACIT(A)'s power u/s 251 to accept the claim of the assessee for amending the return except otherwise than by filing a revised return - CIT(A) allowed the claim of fringe benefit which was not claimed by the assessee in the return of income - Held that:- Iin the present case under consideration, the assessee had already raised the claim before the AO in respect of expenditure incurred on uniform of employees on office duty but the AO rejected the claim of the assessee but the CIT(A) allowed the case of the assessee. We are of the view that judgment in the case of Goetze(India) Ltd. Vs. CIT (2006 (3) TMI 75 - SUPREME Court) clearly says that appellate authorities have the power to allow deduction or claim for expenditure of the assessee to which he was otherwise entitled, even though no claim was made by the assessee in the return of income and accordingly, he has made a claim before the ld. CIT(A) who has allowed the claim of the assessee. Therefore, considering factual position, we are of the view that the order passed by the ld. CIT(A) accepting the new claim which was not made by the assessee in his original or revised return of income, was not wrong on the part of the CIT(A) in entertaining the new claim of the assessee. Therefore, we hold that the order passed by the ld. CIT(A) does not have any infirmity. Interest under section 234D - whether assessing officer was right in charging interest on excess refund or not? - Held that:- AO was right in charging the interest under section 234D of the Act. The explanation 2 of section 234D clarifies that section 234D(2) shall apply to an assessment year commencing before the 1st day of June, 2003 and we find the A.Y under consideration is commenced before 01.06.2003 and if the proceedings in respect of such assessment year is completed after the said date i.e. 29.03.2004, therefore, we hold that the ld. CIT(A) was not justified in allowing the ground raised by the assessee challenging the charging of interest, therefore, we quash the order passed by CIT(A). Hence, we confirm the order passed by AO U/s 234D of the Act. - Decided in favour of assessee.
|