TMI Blog2016 (5) TMI 248X X X X Extracts X X X X X X X X Extracts X X X X ..... mited, then there was no basis for the Assessing Officer for holding the loan amount appearing in tax audit report as correct and making addition for unexplained cash credit on that basis, was not justified. In view of above, we find that order of the ld. Commissioner of Income-tax (Appeals) on the issue in dispute is well reasoned and we uphold the finding of Commissioner of Income-tax (Appeals) on the issue in dispute - Decided against revenue Disallowance of various expenses claimed by the assessee - Held that:- We find that not only the assessee has averred that books of account were produced before the assessing officer but also the books of accounts of the assessee company were audited by the auditor as per company law as well as by the tax auditor. In our opinion, the findings of the ld. Commissioner of Income-tax (Appeals) on the issue in dispute are well reasoned and no interference on our part is required. Thus, we uphold the finding of the ld. Commissioner of Income-tax (Appeals) on the issue in dispute. - Decided against revenue - ITA No. 1952/Del/2012 - - - Dated:- 28-3-2016 - SH. H.S. SIDHU, JUDICIAL MEMBER AND SH. O.P. KANT, ACCOUNTANT MEMBER For The Appel ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 1 disallowance of depreciation on computers 42,34,269/- 2. Unexplained cash credit in the name of Sh. Gopal Tandon 92,38,635/- 3. Unexplained cash credit in the name of M/s Go To Customers Services(P) Ltd 12,33,000/- 4. Disallowance out of total expenses 10,00,000/- Total 1,57,05,904/- 3. Aggrieved with the above disallowances/additions, the assessee filed appeal before the Ld. Commissioner of Income-tax(Appeals), who, after considering the submission of the assessee allowed relief in respect of all the additions/disallowances. Aggrieved with the finding of ld. Commissioner of Income-tax(Appeals), the Revenue is in appeal before the Tribunal. 4. The assessee filed an application on 21st October, 2013 under Rule 29 of the Income Tax (Appellate Tribunal) Rules, 1963 for admitting additional evidence, in respect of ground No. 2 raised by the assessee. It was requested to admit following documents as additional evid ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... h was disallowed by the Assessing Officer out of the depreciation claimed by the assessee on the computers. 8.1 Before us, the Ld. DR submitted that computers worth ₹ 1,41,14,232/- were put to use only on 25/03/2004 i.e. for a period less than 180 days and, therefore, was entitled for depreciation at the rate of 30%, i.e., half of the prescribed rate of 60%, and thus the action of the Assessing Officer in disallowing the depreciation was correct. 8.2 The ld. Authorized Representative, on the other hand, relying on the order of ld. Commissioner of Income-tax (Appeals) submitted that the depreciation has been claimed by the assessee according to the depreciation chart reported in Form No. 3 CD issued by the Tax Auditor. 8.3 We have heard the rival submission and perused the material on record. The Assessing Officer emphasized that the date on which the computer was put to use was mentioned specifically by the Auditor as 25/03/2004, whereas in the Tax Audit Report in Form No. 3CD filed before the ld. Commissioner of Income-tax (Appeals) as well as before us at pages 11 to 31 of the paper book, there is no such remark in the depreciation chart enclosed as Annexure- 1 to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ) failed to appreciate that genuineness of the transaction and creditworthiness of the lender was not established. The ld. Authorized Representative, on the other hand submitted that the assessee had filed all the documents required to substantiate the fact that loan received from Mr Gokul Tondon was duly explained, however, the assessee has produced additional evidence to explain the source of money in the hands of Mr Gokul Tandon. 9.2 We have heard the rival submissions and perused the material on record. As the additional evidences are filed by the assessee in respect of genuineness of the transaction and creditworthiness, before us, in the interest of justice, we feel it appropriate to remit the matter back to the file of the Assessing Officer, to examine all the additional evidences submitted by the assessee before the Tribunal and decide the issue in accordance to law. Accordingly, the ground of the appeal is allowed for statistical purpose. 10. In ground No. 3, the Revenue has agitated the deletion of addition of ₹ 12, 33, 000/-on account of unexplained cash credit in the name of M/s Go To Customer services private limited. 10.1 The Ld. DR submitted that the in t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he Ld. Commissioner of Incometax (Appeals) that entries in the books of accounts of the assessee were duly verified with the confirmation submitted by M/s Go To Customers Private Limited prepared on the basis of their books of account and the typographical error in the audit report may not be taken into account. The ld. Commissioner of Income-tax (Appeals) after considering the submission of the assessee accepted the genuineness of transaction supported by the evidence. The relevant finding of the Commissioner of Income-tax (Appeals) are as under: I have gone through the assessment order and the detailed written submissions filed by the Authorized Representative in this regard. The appellant has taken a loan of ₹ 17,69,500/- (sic ₹ 17,79,500/-) from M/s. GoTo Customer Services Pvt. Ltd. during the financial year 2003-04 relevant for the impugned assessment year. However in the Annexure VI to Audit Report, the amount of loan taken from the said party was shown at ₹ 5,36,500/-. The difference was ₹ 12,33,000/-. Similarly the repayment was shown at ₹ 3,10,000/- in the Annexure- VII to Audit Report against actual amount of ₹ 15,23, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lowance on estimate basis was not justified. 12.3 We have heard the rival submission and perused the material on record. The Ld. that Commissioner of Income-tax (Appeals) has given his finding on the issue as under: 16 I have gone through the assessment order and the written submissions filed by the Authorized Representative in this regard. The books of account are audited which is acknowledged by the Assessing Officer while making the addition of ₹ 12,33,000/- as mentioned in the Ground No. 4 above. The Assessing Officer himself mentioned that that details have been furnished as seen from the first para of the assessment order which reads as under: Subsequently, the case was selected for scrutiny and notice u/s 143(2) was issued and served upon the assessee company. In response to that Sh. Lokenderjit Singh, Advocate appeared from time to time and filed the details, which were placed on record. The Authorized Representative has stated that the books of account and bills and vouchers were produced as evident from the letter dated 22.09.2006 filed before the Assessing Officer in the course of assessment proceedings. The Assessing Officer d ..... X X X X Extracts X X X X X X X X Extracts X X X X
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