Evergreen Bamboo India Private Limited Vs ITO (ITAT Delhi)
Profit Addition of 12.5% on Alleged Bogus Sales Remanded – ITAT Directs CIT(A) to Give Proper Opportunity & Reasoned Order
Assessee filed appeal against the NFAC order sustaining addition of ₹20,16,782/- (12.5% of alleged sales) u/s 68, while deleting the balance ₹1.41 crore. Assessee contended that no adequate opportunity was given before sustaining partial addition & that the order lacked reasoning, thus violating principles of natural justice.
Tribunal observed that though CIT(A) deleted major addition, he failed to assign any reasons for sustaining the balance ₹20.16 lakh or to record findings on Assessee’s submissions. Hence, the issue required fresh examination.
Accordingly, the matter was remanded to CIT(A) to reconsider the sustained addition after giving the Assessee due opportunity & passing a speaking order. The relief already granted (₹1.41 crore deletion) remained undisturbed as the Department had not appealed.
FULL TEXT OF THE ORDER OF ITAT DELHI
The present appeal is filed by the Assessee against the order of Ld. Commissioner of Income Tax (Appeals)/National Faceless Appeal, Delhi (‘Ld. CIT(A)/’NFAC’ for short), dated 04/07/2024 for the Assessment Year 2016-17.
2. There is a delay of 09 days in filing the present Appeal. The Assessee filed an application for condoning the delay. For the reason sated in the application of condonation of delay, the delay of 09 days in filing the present appeal is hereby condoned.
