TMI Blog2013 (7) TMI 312X X X X Extracts X X X X X X X X Extracts X X X X ..... 158 - BOMBAY HIGH COURT) wherein held assessee is entitled to raise not merely additional legal submissions before the appellate authorities but is also entitled to raise additional claims before them, therefore, admit the additional ground and restore the issue to the file of the AO, who shall adjudicate on the issue afresh. In favour of assessee. - ITA No. 19/Mum/2012 - - - Dated:- 30-4-2013 - Shri Rajendra Singh And Shri Vivek Varma,JJ. For the Respondent : Shri M. Subramanian For the Applicant : Shri Shekhar L. Gajbhiye ORDER Per Vivek Varma, JM:- The appeal is filed by the assessee against the order of CIT(A) 3, Mumbai, dated 24.10.2011, wherein, the following grounds have been raised:- "1. The learned CIT (A) err ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ice areas, the assessee is also indulging in making investments in quoted and unquoted shares. From these shares the assessee, during the year he earned dividend income of Rs. 1,59,946/- on an aggregate investment of Rs. 1,43,82,612/-. This dividend income, the assessee claimed as exempt. 3. The AO sought an explanation of the assessee as to why provisions of section 14A read with Rule 8D be not applied. On this query, the assessee submitted before the AO that no direct or indirect cost was incurred by the assessee and therefore, the impugned issue is beyond the scope of application. The AO, after examining the brief reply held that since the assessee has paid interest on secured loan of Rs. 1,44,11,773/- and unsecured loan of Rs. 45,04,2 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... round could be raised before AAC (now CIT(A) only if they could not have been raised at the stage when the return was filed or when assessment order was made or if the ground became available on account of change of circumstances or law. Moreover, the AAC must be satisfied that the ground raised was bona fide and that it could not have been raised earlier for good reason". 8. He, therefore, rejected the additional ground as not admitted. 9. Against this order, the assessee is now in appeal before the ITAT. 10. Before us, the AR submitted that the assessee raised an additional ground in the pendency of appeal and on an issue which was a part of the assessment order. 11. The AR cited the case of Hon'ble Bombay High Court in the case o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he issue was well within the assessment order. The reliance placed by the CIT(A) on the case of Jute Corp. of India (supra) is the extracted portion of the decision rendered by the Hon'ble Supreme Court in the case of Add. CIT vs Gurjargeavures (P) Ltd., reported in 101 ITR 1, where there were certain other circumstances. In the case of Jute Corporation (supra), the Hon'ble Supreme Court has explained the plenary powers of the first appellate authority in disposing off the appeal. By citing the case of Gurjagravures (supra), Hon'ble Supre Court strengthened the rights of the assessee to raise additional grounds. In fact the ratio of Jute Corporation (supra), favours the assessee. 15. In the instant case, it is not disputed that the assess ..... X X X X Extracts X X X X X X X X Extracts X X X X
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