Case Law Details
DCIT Vs Realistic Realitors Pvt. Ltd. (ITAT Delhi)
In this case the A.O. in the light of information emanating from the search of Shri Praveen Agarwal came to the conclusion that assessee has wrongly claimed deduction on account of sub-brokerage paid to M/s. Taral Vincom Pvt. Ltd.,
The A.O. in the entire assessment order did not mention any details of the search conducted in the case of Shri Praveen Agarwal. The A.O. did not mention anything in the assessment order as to how the statement of Shri Praveen Agarwal was incriminating in nature against the assessee.
The assessee submitted before the Ld. CIT(A) that in the Group case of M/s. Reach Promoters Pvt. Ltd., an identical issue have been considered by the Ld. CIT(A) in respect of the same broker M/s. Taral Vincom Pvt. Ltd., in the light of statement of Shri Praveen Agarwal and addition have been deleted. It would, therefore, show that Shri Praveen Agarwal did not make any allegation against the assessee of taking any bogus commission/brokerage in the matter.
The statement of Shri Praveen Agarwal have been recorded at the back of the assessee and was never confronted to the assessee for explanation or cross-examination on behalf of the assessee. No such fact is discernible from the assessment order.
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