TMI Blog2020 (4) TMI 398X X X X Extracts X X X X X X X X Extracts X X X X ..... re, the said income is eligible for deduction u/s 80IB of the Act which is the alternate claim of the assessee to the claim of deduction u/s 10AA - HELD THAT:- Assessee s claim of expenditure is to be considered by the AO afresh. In view of the same, we deem it fit and proper to remand the issue to the file of the AO for de novo consideration afresh. Further, we also make it clear that if the expenditure is disallowed, which would in turn increase the income of the assessee, the same is allowable as deduction which is allowable to the assessee u/s 80IB of the Act. Disallowance of expenditure - assessee submitted that there is a disallowance of salaries and professional charges on the ground that there was no TDS made by the assessee and therefore, the disallowance was proposed to be upheld u/s 40(a)(ia) - submitted that the assessee has not been treated as assessee in default u/s 201(1) of the Act for such an amount and therefore, the disallowance u/s 40(a)(ia) is not to be upheld - HELD THAT:- Since we have set aside the entire issue to the file of the AO, we direct the AO to consider the assessee s arguments on this issue as well. Disallowance u/s 10AA - assessee subm ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t furnished by the assessee, that there were unsecured loans of ₹ 55,46,619/-. The assessee was directed to furnish documentary evidence such as books, confirmation letters and supporting documents in support of unsecured loans taken. Since the assessee failed to furnish any evidence, the AO brought the same to tax u/s 68 of the Act. 5. Thereafter, the AO also found that the assessee has claimed deduction u/s 10AA of the Act but failed to furnish Form 56F in support of the same. For failure to submit the prescribed form 56F, the AO disallowed the claim of deduction u/s10AA of the Act and brought the sum of ₹ 1,90,03,801/- to tax. Aggrieved, the assessee preferred an appeal before the CIT (A) along with evidence in support of its claim. The CIT (A) called for a remand report from the AO and thereafter confirmed the additions made by the AO except for part relief in respect of disallowance of expenditure is concerned. Against the order of the CIT (A), the assessee is in second appeal before us by raising the following grounds of appeal: 1 . The order of the Ld. Commissioner of Income Tax (Appeals) is erroneous both on facts and in law. 2. Ld. CIT (A) erre ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e of registration submitted before him. 16. The Ld. CIT(A) erred in not adjudicating the impugned addition for the want of additional grounds of appeal which is not correct. 17. The appellant may add or alter or modify of substitute or delete and/or rescind all or any of the grounds of appeal at any time before or at the time of hearing of the appeal . 6. In addition to the above grounds, the assessee has filed the additional grounds vide letter dated 25.03.2018 which are as under: 18. As per the ratio laid down by the Hon'ble Supreme Court of India in the case of National Thermal Power Co. Ltd vs. CIT (1998) 229 ITR 383 (SC) the ITAT has jurisdiction to examine any question of law though not raised before the CIT (A) but is raised before the ITAT for the first time. 20. The Ld. CIT(A) ought to have appreciated that the assessee has claimed deduction U/s 10AA instead of rightly claiming Vis 80lB wherein form 10CCCB is already produced them. 21. The Ld. CIT(A) ought to have appreciated that the assessee fulfilled all the other conditions necessary for the purpose of claiming deduction under section 80rB though he has not specifically mentioned the se ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the appeal . 8. Vide letter dated 8.11.2018, the assessee has raised the following further additional grounds of appeal: 31 As per the ratio laid down by the Hon'ble Supreme Court of India in the case of National Thermal Power Co. Ltd vs. CIT (1998) 229 ITR 383 (SC) the ITAT has jurisdiction to examine any question of law though not raised before the CIT (A) but is raised before the IT AT for the first time. 32 The Ld. CIT (A) ought to have considered CBDT circular No. 37/2016, wherein any such disallowance made, shall enhance the claim of the assessee for deduction V/s 80lB of the Income Tax Act,1961 33 The Ld. CIT (A) has erred in disallowing the expenses such as personnel costs such as salary expenses, Wages, Allowances Bonus, Provident Fund and ESI expenses to the tune of ₹ 22,63,869/ -. The Ld. CIT(A) ought to have considered that the said disallowance would enhance the deduction u/s 80IB . 34 The Ld. CIT (A) has erred in disallowing the Factory expenses to the tune of ₹ 70,63,725/ -, However the Ld. CIT(A) ought to have considered that the said disallowance would enhance the deduction u/s 80IB. 35 The Ld. CIT (A) has erred in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ve that the shares have subsequently been allotted to the persons who have allegedly advanced share application money and unsecured loans. 11. The learned DR submitted that this is nothing but an afterthought as the shares have been allotted subsequent to the order of the CIT (A) and therefore, such evidence has no relevance to the issue on hand. 12. The learned Counsel for the assessee submitted that the assessee, being a listed company, had to follow the procedures for allotment of shares and therefore, there was certain delay in allotment of the shares and the same should be considered for deleting the additions made by the AO. 13. Having regard to the rival contentions and the material on record, we find that the additional evidence is likely to prove that the assessee has allotted the shares to the applicants who have allegedly invested in the assessee company and advanced unsecured loans to the assessee company. All this information needs verification by the AO. Therefore, we deem it fit and proper to admit and remand the additional evidence to the file of the AO for de novo consideration in accordance with law. The assessee s grounds of appeal on this issue are trea ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
