Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2018 (10) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2018 (10) TMI 1118 - AT - Income TaxDisallowance in respect of Commission and incentive made - Held that:- It is pertinent to note that the CIT(A) and the Assessing Officer has relied upon the assessment order for Assessment Year 2003-04 but failed to appreciate that in the assessee’s own sister concern in case of Bulk Explosives, this issue has been decided in favour of the assessee. In-fact, the CIT(A) has noted the said decision in paragraph 6(3) of the order but still confirmed the disallowance without giving any proper reasons. In case of BULK EXPLOSIVES C/O BHARAT EXPLOSIVES LTD. VERSUS DCIT, CIRCLE NOIDA [2013 (6) TMI 853 - ITAT DELHI] held this is a case where the assessee has proved the identity of the Commission Agents. The nature of services were stated. Tax was deducted at source and payments made through cheques. In the case of Combined Associates, the major commission agent, the genuineness of the claim has been prima facie accepted by the A.O. of Combined Associates. In our view the assessee has discharged the burden of proof that lay on it. There is no adverse material collected by the A.O. There is no allegation of illegal payments, much less evidence. The disallowance was made on mere surmises. Hence we are inclined to allow the claim of the assessee. - decided in favour of assessee.
|