TMI Blog2021 (5) TMI 344X X X X Extracts X X X X X X X X Extracts X X X X ..... ve otherwise been genuinely incurred by the assessee, i.e. the said expenses would continue to be considered as expenses incurred wholly and exclusively for the purpose of business. In the instant case, the A.O. has not examined the details furnished by the assessee. Accordingly, we are of the view that this issue requires fresh examination at the end of the A.O. Accordingly, we set aside the order passed by the Ld. CIT(A) and restore this issue to the file of the A.O. for examining it afresh by duly considering the information and explanations furnished/that may be furnished by the assessee. After affording adequate opportunity of being heard to the assessee, the A.O. may take appropriate decision in accordance with law. - Appeal filed ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t was advised to file the appeal challenging the order passed by Ld CIT(A). Accordingly, the assessee has filed this appeal belatedly. The Ld. A.R. submitted that the assessee did not prefer appeal on account of wrong notion and lack of proper professional advice. Accordingly, he prayed that the delay may kindly be condoned. The Ld A.R placed his reliance on the decision rendered by Hon ble jurisdictional Karnataka High Court in the case of CIT Vs. Prakash B. Nichani. (ITA No.399/2009 dated 18-08-2015). In the above said case, the assessee filed appeal against original assessment order belatedly, i.e., only after the revision order passed by Commissioner u/s 263 of the Act. The same has resulted in a delay of 331 days. The Tribunal condoned ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r hearing. 6. The facts relating to the issue before us are discussed in brief. The assessee company is engaged in the business of selling health based wellness products through multi-level marketing. The assessee is a group company of Unicity Group, USA. During the course of scrutiny proceedings, the A.O. noticed that the assessee has claimed business promotion expenses of ₹ 4.04 crores. On questioned, the assessee explained that its business has started picking up in 2013-14 onwards and hence, in order to improve the business further, several incentive schemes like Dubai Reward Trip, Bongkok Reward Trip, Goa Reward Trip were organized in 2014. The A.O. wanted to apply bright line test. He also observed that the assessee has no ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... g bright line test will not arise. Further, it is not the requirement of law that the expenses should compulsorily help the assessee to achieve higher sales. He submitted that the assessee would be incurring business promotion expenses only on expectation of higher sales. If the expectation fails, it would not lead to disallowance of expenses. Accordingly, he submitted that the Ld. CIT(A) was not justified in confirming the disallowance. 8. The Ld. D.R., on the contrary submitted that the assessee has failed to furnish various details called for by the assessee. He submitted that it is the responsibility of the assessee to prove the expenses. 9. We heard the rival contentions and perused the record. We notice that the assessee has fur ..... X X X X Extracts X X X X X X X X Extracts X X X X
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