9911796707
TMI Blog2021 (7) TMI 683X X X X Extracts X X X X X X X X Extracts X X X X ..... lahabad for the Assessment Year 2005-06. 01. BECAUSE the Ld. Commissioner of Income Tax (Appeals) has erred in law and on facts in confirming Rs. 77,167/- being the disallowance of interest paid on deposits and Rs. 95,000/- being the addition of security deposit treated as cash credit under section 68 of the Income Tax Act, 1961 made by the Assessing Officer without following the directions given by the Hon'ble ITAT while restoring the matter to the Assessing Officer. 02. BECAUSE the Ld. CIT(A) has erred in upholding the disallowance of interest of Rs. 77,167/- made by the A.O. without any specific finding about the genuineness of credits on which interest was paid by merely observing that the issue was still pending before the high ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... owance of interest of Rs. 77,167/- on the deposit shown by the assessee which were treated by Assessing Officer in the years 1992 to 1998 as unexplained cash credit and made the addition u/s 68 of the I. T. Act, 1961. The second issue is regarding addition of Rs. 95,000/- on account of security deposit from one Shri Raj Bahadur which was added to the income of the assessee by treating the same as unexplained deposit. On the first issue regarding disallowance of interest of Rs. 77,167/- the Ld. AR of the assessee has submitted that the Assessing Officer has disallowed the interest on the basis of earlier addition made by Assessing Officer u/s 68 of the I. T. Act, 1961. However, the said issue has not attained finality as this Tribunal for th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ce of interest in the appeal for the A.Y.1992-93 to 1998-99 in two set of appeals were adjudicate by this Tribunal vide order dated 07.10.2005 for the A.Y.1992-93 and another set of appeal for the A.Y. 1994-95 to 1998-99 vide order dated 13.06.2006. The Tribunal set aside the issue of addition made by Assessing Officer u/s 68 of the Act as well as the consequential issue of disallowance of interest for all those assessment year to the record of the CIT(A) for fresh adjudication. The relevant finding by this Tribunal for A.Y.1994-95 in ITA. No.147/Alld/2001 is as under:- "Main issue involved in this appeal is addition made by the Assessing Officer in the names of Smt Urmila Bhatnagar, Dij Vijay Singh, Smt. Lata Jain, Smt. Suman Jain, Smt. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is also r; by cheques. This money has also been returned in most of the cases cheques. If one issue of the summons by the A.O., the depositors do not turn up before him then he ought to have enforced the compliance of summons-Learned A.R. submitted a list of depositors which, shows that money received by cheque and also returned by cheque. Learned DR. on the other hand submitted that Assesses has not been able to give the correct addresses of the depositors and 'hence it has not been possible to enforce the compliance of summons. In rejoinder the learned A.R. submitted that he is ready to give correct addresses of the depositors sad also ready to deposit diet money in respect of these depositors so that A.O. can enforce compliance ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... roduce fee depositors for his interrogation- Therefore we restore the matter to the file of the C.LT (A) for fresh adjudication in accordance with law. The C.I.T (A) will provide adequate opportunity of being heard to the Assessee As a result appeal of the Assessee is allowed for statistical purposes." 3. Identical issue involved in the other assessment year were also set aside. The said issue of addition u/s 68 of the Act was remanded by this Tribunal to the record of the CIT(A) for fresh adjudication in accordance with law after providing adequate opportunity of hearing to the assessee. Since the disallowance of interest is consequential to the issue of addition made u/s 68 of the I. T. Act, 1961, therefore, the same cannot be decided ..... X X X X Extracts X X X X X X X X Extracts X X X X
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