TMI Blog2020 (8) TMI 514X X X X Extracts X X X X X X X X Extracts X X X X ..... of the order by the Ld. CIT(Appeal). CIT(Appeal) has passed the appellate order only on the basis of the assessment order, Form-35, statement of facts and grounds of appeal. It is also true as evident from the order of the Ld. CIT(Appeal) that sufficient opportunities were provided to the assessee. There was not even a single compliance from the assessee on the given dates of hearing. Though several opportunities were given to the assessee by the Ld. CIT(Appeal), we find that in the interest of justice and for the fact that the Income Tax Laws are within the ambit of welfare legislation one more opportunity may be given to the assessee and therefore, we are of the considered view that the matter should be restored to the file of the L ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 42 lacs for the purposes of obtaining finance for the company, BTKCPL and hence, the amount of ₹ 30 lacs advanced by BTKCPL to the firm, M/s. Renuka Construction wherein the assessee was a partner was against the said favour bestowed by the assessee upon the company and hence, the said advance could not be considered to be a gratuitous loan within the meaning of section 2(22)(e) and therefore, the addition made by the A.O. was not justified. 4. The learned CIT(A) erred in not appreciating that the ratio laid down by Hon'ble Kolkata High Court in the case of Pradeep Kumar Malhotra [338 ITR 538] was squarely applicable in the instant case and hence, the deeming provisions u/s 2(22)(e) were not attracted to the case of the asses ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nce, the Ld. AR of the assessee submitted that grounds No.1 and 7 are general in nature. In view of the submissions of the Ld. AR, no adjudication is required with regard to Ground No.1 and Ground No.7. 2.1 The Ld. AR of the assessee further submitted that he is not pressing the grounds No.5 and 6. In view of the submissions of the Ld. AR, Grounds No.5 and Ground No. 6 are dismissed as not pressed‟. 2.3 The only effective grounds for adjudication are grounds No.2, 3 and 4 which relates to the addition made u/s.2(22)(e) of the Act on account of deemed dividend. 3. The brief facts on the issue are that the assessee is an individual and derives income from salary, business, and profession and from other sources. The assessee e-filed ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... le on record as per annexures to Form-35 has passed the appellate order confirming the addition on account of deemed dividend u/s.2(22)(e) of the Act. 6. The Ld. AR of the assessee placing reliance in the paper book filed before us stated that the copy of submissions before the Ld. CIT(Appeal) was placed on record and he has considered the same while passing his order. However, as evident from records, the Ld. CIT(Appeal) has passed his order on 15.03.2017 whereas, the submissions of the assessee was filed on 16.03.2017 i.e. one day subsequent to the passing of the order by the Ld. CIT(Appeal). Therefore, the Ld. CIT(Appeal) has passed the appellate order only on the basis of the assessment order, Form-35, statement of facts and groun ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rred judgments of the Ld. AR and facts are also substantially different. 7.1 That further whether the facts of the assessee‟s case are identical to the facts of the referred judgments by the Ld. AR, this needs to be verified at the First Appellate stage and therefore, the matter may be remitted back to the file of Ld. CIT(Appeal) for adjudication on merits vis- -vis various case laws placed on record. That further even the factual documents relied by the assessee was not filed before the Ld. CIT(Appeals). That though several opportunities were given to the assessee by the Ld. CIT(Appeal), we find that in the interest of justice and for the fact that the Income Tax Laws are within the ambit of welfare legislation one more opportunit ..... X X X X Extracts X X X X X X X X Extracts X X X X
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