TMI Blog2022 (12) TMI 108X X X X Extracts X X X X X X X X Extracts X X X X ..... ire expenditure have been incurred by the assessee for its business purpose - HELD THAT:- It is the specific case of the assessee before us that, the Ld.CIT(A) has not considered the paper book produced by the Assessee which comprising of all the explanation and details to prove the case of the assessee. We found that the Lower Authorities have not given any finding on the documents produced by the assessee in the paper book. Therefore, in our considered opinion, the issue requires to be remanded to the file of the A.O. for de-novo consideration and to pass appropriate order after considering the documents produced by the assessee. Accordingly, we partly allow Assessee s Ground No. 1 for statistical purpose by remanding the issue to the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... word and spirit of Section 37 of the Act. Ergo, we deem it fit to remand the above issue also to the file of the Ld. A.O. for de-novo consideration with a direction to assessee to justify his contention before the Ld. A.O. and the A.O. shall decide the same in accordance with law. Accordingly, the Ground No.3 of the Assessee is partly allowed for statistical purpose. - I.T.A. No. 167/DEL/2020 - - - Dated:- 10-11-2022 - SHRI SHAMIM YAHYA, ACCOUNTANT MEMBER AND SHRI YOGESH KUMAR US, JUDICIAL MEMBER Assessee by : Shri V. K. Bindal; C. A.; Ms. Rinky Sharma, I.T.P.; Department by: Shri Rajendra Jha, Sr. D. R.; ORDER YOGESH KUMAR U.S. This appeal is filed by the assessee against the order dated 22.11.2019 of the ld ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s. 7,06,334/- to the returnee income of the assessee by disallowing various business expenses namely: Business promotion expenses of Rs. 34,175/- ii) Sales promotion expenses of Rs. 36,490/- iii) Diwali expenses of Rs. 5,67,960/- iv) Entertainment expenses Rs. 33,232/- v) Membership fee expenses Rs. 34,477/- 4. The appellant craves the leave to add, substitute, modify delete or amend all or any ground of appeal either before or at the time of hearing. 3. Brief facts of the case are that, the assessee Company derives income from manufacturing and sale of country liquor, filed its return of income for AY 2014-15 declaring a total income of NIL. During the assessment proceedings, the assessee was asked to fur ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... /11/2019, the Assessee has preferred the present appeal on the grounds. GROUND NO.1. 6. The Ld. Counsel for the assessee vehemently submitted that the 17 Companies are having registered address at the premises of the assessee company which were not doing any business/activities in the said premises, those companies were merely having the registered address of the premises of the assessee and the entire expenditure have been incurred by the assessee for its business purpose. Further submitted that the Ld.CIT(A) has neither discussed nor gave any finding on the documents produced by the assessee such as balance sheet of all the 17 other Companies, chart showing activities of each Company and a number of employees of the company etc. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ase of the assessee. We found that the Lower Authorities have not given any finding on the documents produced by the assessee in the paper book. Therefore, in our considered opinion, the issue requires to be remanded to the file of the A.O. for de-novo consideration and to pass appropriate order after considering the documents produced by the assessee. Accordingly, we partly allow Assessee s Ground No. 1 for statistical purpose by remanding the issue to the file of A.O. for de-novo consideration with a direction to A.O. to decide the said issue afresh after providing the opportunity being heard to the Assessee, Ordered Accordingly. GROUND NO. 2 11. The ground No.2 is regarding disallowance of Rs. 2,22,200/- on various expenses ma ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t the same have been incurred for the purpose of the business, which are allowable under Section 37 of the Act.- The details are hereunder: (i) Business promotion expenses of Rs. 34,175/- (ii) Sales promotion expenses of Rs. 36,490/- ii) Diwali expenses of Rs. 5,67,960/- iii) Entertainment expenses Rs. 33,232/- iv) Membership fee expenses Rs. 34,477/- It is the case of the Ld. AR that the Ld. CIT (A) has complete disregarded the documents filed and explanations given by the Assessee and further submitted that all the above expenses were incurred by the assessee for the purpose of its business and hence allowable under section 37 of the Act. 14. The Ld.CIT(A) has confirmed the above disallowances on the gr ..... X X X X Extracts X X X X X X X X Extracts X X X X
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