Lack of cross examination & violation of principle of natural justice – Additions deleted

P. Mittal Manufacturing Pvt. Ltd. Vs ITO (ITAT Delhi)

Appellant stated that where revenue strongly relies on statements of certain persons to implicate an assessee, principles of cross examination have to be invariably followed if truth and justice need to be found out. He stated that the answer has been given by the Bench positive in the case Amitabh Bansal vs. Income Tax Officer, Ward 46(4), New Delhi (2019) 102 taxmann.com 229 (Supra) and therefore, requested to follow the same ratio in the case of the assessee and addition in dispute may be deleted and appeal of the assessee may be allowed.

ITAT held that that lack of cross examination and violation of principle of natural justice results is total nullity of the entire addition.

ITAT has gone through the aforesaid findings of the Tribunal in the case of Amitabh Bansal vs. Income Tax Officer, Ward 46(4), New Delhi (2019) 102 taxmann.com 229 and was of of the view that the issue of cross examination in dispute is squarely covered in favour of the assessee by the findings of the Tribunal, as reproduced above. Therefore, respectfully following the aforesaid finding of the Tribunal, the addition in dispute is deleted by accepting the appeal of the assessee.

FULL TEXT OF THE ORDER OF ITAT DELHI

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