Anil Kumar Singh Vs ACIT (ITAT Patna)
Brief facts of the case are that the assessee is an individual engaged in the business of contractor. Income of Rs. 27,22,745/-declared in the return of income filed on 04.01.2008. Case of the assessee selected for scrutiny and assessment u/s 143(3) of the Act was completed on 02.12.2009 at a total income of Rs. 55,35,590/-. The assessee preferred appeal before the ld. CIT(A) and got part relief. Later on ld. AO noticed that the assessee has claimed excess remuneration of Rs. 16,38,664/- and treating it as a mistake apparent from record, passed the order u/s 154 of the Act disallowing the said claim and assessed the income at Rs. 52,98,500/- (after giving effect to the order of ld. CIT(A) dated 08.02.2011).
Aggrieved, the assessee preferred appeal before the ld. CIT(A). But during the course of appellate proceedings, the assessee could not make proper representation and thus, failed to succeed.
Coming to the claim of the assessee that the remuneration including bonus was claimed in pursuance of Section 40(b)(v) of the Act duly supported by Partnership Deed, we, in the interest of justice and being fair to both the parties, are of the considered view that the issue needs to be restored to ld. CIT(A). The assessee has filed various documents before us in support of its claim of bonus of Rs. 16,38,664/-. We direct the assessee to place all these documents before ld. CIT(A) who shall adjudicate the issue in light of the same and pass a speaking order in accordance with law. Needless to mention that proper opportunity of being heard should be provided to the assessee.
