TMI Blog2016 (7) TMI 612X X X X Extracts X X X X X X X X Extracts X X X X ..... in making this addition which is in accordance with the provisions of the Act. Hence we do not find any reason to interfere with the orders of the lower authorities. - Decided against assessee - ITA.1035/Kol/2013 - - - Dated:- 8-7-2016 - Shri N.V.Vasudevan, JM Shri M.Balaganesh, AM For The Appellant : Shri R.N.Ram, AR For The Respondent : Shri U.K.sardar, Addl. CIT,Sr.DR ORDER Per Shri M.Balaganesh, AM This appeal of the assessee arises out of the order of the Learned CITA in Appeal No.309/CIT(A)/Asl/W-2(3)/Asl/11-12 dated 07.03.2013 against the order of assessment framed for the Asst Year 2009-10 u/s 143(3) of the Income Tax Act, 1961 (hereinafter referred to as the Act ). 2. The first issue to be decided in this appeal is as to whether the addition could be made in the sum of ₹ 5,86,305/- towards accretion to capital account. 2.1. The brief facts of this issue are that the asssessee deals in trading of electronics products as a super stockiest of M/s. Blue Star Ltd, Sharp India Ltd others under the name and style M/s. Ramson Traders. Apart from trading activities, the assessee also runs authorized service centre of M/s. Sharp India Ltd., M/s. Bl ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... interest of justice and fair play, to set aside this issue to the file of the ld.AO to decide the same afresh, in accordance with law, based on the aforesaid documents relied upon by the Learned AR. The assessee is also at liberty to file fresh evidences in support of his contentions. Accordingly ground no.1 raised by the assessee is allowed for statistical purposes. 3. The next issue to be decided in this appeal is as to whether the addition in the sum of ₹ 1,42,145/- could be made towards difference in the balance of sundry creditor i.e. M/s.Haier Appliances (P) Ltd. 3.1. The ld.AO obtained information u/s 133 (6) of the Act from the sundry creditor M/s. Haier Appliances Pvt. Ltd and found that there is a difference in the balance to the tune of ₹ 1,42,145/-. The assessee explained the difference as below :- Regarding difference on account of M/s. Haier Appliances Pvt. Ltd the assessee vide written explanation dated 22.,11.2011 submitted that The assessee has credited ₹ 1,38,905/- as service charges, ₹ 3,200/- as reimbursement towards advertisement expenses and ₹ 50,001/- towards reimbursement of other expenses. Further bills for s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he assessee in this regard. We feel that, in the facts and circumstances of the case, the issue needs to be examined by the ld. AO in the light of the evidences available in the paper book filed by assessee and accordingly, deem it fit and appropriate, to set aside this issue to the file of ld. AO, for de novo adjudication. The assessee is also directed to submit the reconciliation statement before ld. AO. Accordingly ground no.2 raised by the assessee is allowed for statistical purposes. 4. The next issue to be decided in this appeal is as to whether the ld. AO is justified in making addition towards foreign trip expenses amounting to ₹ 1,50,000/- in the facts and circumstances of the case. 4.1. During the course of hearing the ld. AR stated that the issue is not pressed by him and the same is taken as a statement from the bar. Accordingly, ground no.3 raised by the assessee is dismissed as not pressed. 5. The next issue to be decided in this appeal is as to whether disallowance u/s 40(a)(ia) of the Act could be made in the sum of ₹ 1,10,719/- in the facts and circumstances of the case. 5.1. In the P L account an amount of ₹ 1.10,719/- was found de ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ers to Sundarbans as a package tour where as provisions contained U/S 194C is not applicable in the case of appellant as such disallowance VIS 40 (a)(ia) is uncalled for. 5.3. We have heard the rival submissions and perused the material available on record including the paper book filed by the assessee in this regard. The facts stated herein above remain undisputed and hence the same are not reiterated for the sake of brevity. We find that the expenses incurred is only towards promotion of business of the assessee and does not fall under the definition of work as defined in 194C of the Act. Hence there is no obligation to deduct tax at source in terms of section 194C of the Act. Accordingly we direct the ld. AO to delete the disallowance made u/.s 40(a)(ia) of the Act. Hence ground no.4 raised by the assessee is allowed. 6. The next issue to be decided in this appeal is as to whether addition of ₹ 89,513/-could be made towards notional rental income from house property in the facts and circumstances of the case. 6.1. The brief facts of this issue is that the ld. AO found that the assessee had claimed loss under the head house property and asked the assessee ..... X X X X Extracts X X X X X X X X Extracts X X X X
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