TMI Blog2019 (9) TMI 1673X X X X Extracts X X X X X X X X Extracts X X X X ..... ee : Shri Rajat Jain, And Shri Akshat Jain, CA For the Revenue : Shri Sanjog Kapoor, Sr. Dr ORDER PER ANADEE NATH MISSHRA, AM (A) This appeal by Revenue is filed against the order of Learned Commissioner of Income Tax (Appeals)-XXXI, New Delhi, [ Ld. CIT(A) , for short], dated 14.11.2014 for Assessment Year 2011-12. Grounds taken in this appeal of Revenue are as under: 1. The order of Ld. CIT(A) is not correct in law and facts. 2. On the facts and circumstances of the case, the Ld. CIT(A) has erred in law in deleting the addition of ₹ 3,64,42,407/- made by the Assessing Officer on account of unexplained advertisement expenses. 3. The appellant craves leave to add, amend any/all grounds of appeal before or during the course of hearing of the appeal. (B) Assessment Order dated 28/03/2014 was passed by the Assessing Officer ( AO , for short) U/s 153A read with Section 143(3) of Income Tax Act, 1961 ( I.T. , for short) wherein total income was assessed at ₹ 32,05,34,260/- (rounded off). In the aforesaid Assessment Order dated 28/03/2014 in additional amounting to ₹ 3,64,42,407/- was made U/s 69C of I.T. Act, (un ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ng ample opportunities. Hence, these expenditure on advertisement amounting to ₹ 3,64,42,407/- are not found genuine and added back to the total income of the assessee as unexplained expenditures u/s 69C. I am satisfied that the assessee has concealed and failed to furnish true particulars of its income in the return of income filed and furnished inaccurate particulars of his income, within the meaning of sub-clause (c) of sub-section (1) of section 271 of the Income tax Act, 1961. For the reasons discussed above, penalty proceedings U/s 271(l)(c) of the Act are being initiated separately. (Addition of ₹ 3,64,42,407/-) (B.1) In short, the aforesaid addition on account of Advertisement Expenditure was made by the AO, taking unfavorable view of the fact that certain parties did not respond to inquiries made by the AO under Section 133(6) of I.T. Act. Aggrieved, the Assessee filed appeal before learned Commissioner of Income Tax (Appeals). Vide impugned appellate order dated 14/11/2014, the Ld. CIT(A) deleted the aforesaid additions amounting to ₹ 3,64,42,407/-. Revenue has filed this present appeal in Income Tax Appellate Tribunal ( ITAT , ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... resaid Devyani International Ltd., the addition on account of Advertisement Expenditure was deleted in appeal vide ITA No. 862/Del/2015. He drew our particular attention to paragraphs 23, 24, 25 and 26 of the aforesaid order dated 06/04/2018 of Co-ordinate Bench of ITAT, Delhi. He drew our further attention to another order dated 23.04.2018 by Co-ordinate Beech of ITAT, Delhi in the case of the aforesaid Devyani International Ltd. vs ACIT for Assessment Year 2007-08 in ITA No. 857/Del/2015, and submitted that in similar facts and circumstances of the case; Co-ordinate Bench of ITAT, Delhi has already deleted the addition on account of advertisement expenses in the case of Devyani International Ltd. for Assessment Year 2006-07. For this purpose, the Ld. Counsel for assessee drew our attention to paragraph 4 of the aforesaid order dated 23.04.2018. The Ld. Counsel for the Assessee contended that the issue in dispute in the present appeal is squarely covered in favour of the Assessee by the aforesaid orders dated 06/04/2018 and 23.04.2018 of Co-ordinate Benches of ITAT, Delhi. (D) On the other side, the learned Commissioner of Income Tax (Departmental Representative) [ Ld. C ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... by Co-ordinate Benches of ITAT, Delhi vide aforesaid orders dated 06/04/2018 and 23/04/2018 in similar facts and circumstances. For ease of reference, the relevant portion of the aforesaid orders dated 06/04/2018 and 23/04/2018 are as under: Order dated 06/04/2018 (ITA No. 862/Del/2015) 23. The 3rd ground of appeal of the revenue is with respect to the deletion of addition of ₹ 19189959/- made by Ld. Assessing Officer on account of unexplained advertisement expenses. The assessee has claimed the advertisement and publicity expenses of ₹ 13,75,82,635/ under the head selling and distribution expenditure in its profit and loss account, during the financial year under consideration. The Ld. assessing officer asked the assessee to furnish the details of major expenses debited to the profit and loss account which also includes advertisement and publicity expenses and justification with documentary evidences for its allowability. The assessee submitted the party wise details of advertisement expenses claimed in the profit and loss account. However the ld Assessing Officer disallowed the expenditure of ₹ 19189959/ on the basis of non receipt of confirm ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ation in case of assessee for years including assessment year 2010- 11 the Ld. CIT (A) has deleted the disallowance after considering the overall facts and circumstances of the case. The revenue has accepted that order and therefore there is no reason to challenge the same on identical issue before the coordinate bench in absence of any change in the facts and circumstances of the case. No such change in the facts and circumstances of the case was brought on record before us. In view of this we do not find any reason to interfere in the order of the Ld. CIT (A) deleting the above disallowance. In the result ground No. 3 of the appeal of the revenue is dismissed. Order Dated 23/04/2018 (ITA No. 857/Del/2015) 4. We have heard both the sides and perused the relevant material on record. It is seen that the Assessing Officer made an addition of ₹ 3.67 crore in respect of Advertisement expenses claimed to have been incurred in respect of two parties, namely, M/s Ramendra Enterprises and M/s Yum Restaurants Marketing Pvt. Ltd., to both of whom notices were issued u/s 133(6) but remained uncomplied with. Apart from issuing such notices, the Assessing O ..... X X X X Extracts X X X X X X X X Extracts X X X X
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