Bankers Cardiology Pvt. Ltd. Vs DCIT (ITAT Ahmedabad)
ITAT Ahmedabad held that additional evidence reconciling the discrepancy in receipts as per Form No. 26AS and books of accounts were not submitted before AO or CIT(A). Accordingly, matter send back to CIT(A).
Facts- The assessee, a private limited company engaged in operating a hospital, filed its return of income on 30th September 2015, declaring a total income of Rs.6,31,35,810/-. The case was taken up for scrutiny, and the assessment order u/s. 143(3) of the Income Tax Act, 1961 was passed on 20th December 2017, making various additions totalling Rs.63,19,416/-.
One of the additions made by AO was Rs.14,08,008/- on account of alleged short credit of receipts as per Form No. 26AS vis-à-vis the books of accounts. The AO observed that there was a discrepancy between the amounts reflected in Form No. 26AS and the assessee’s books of accounts concerning receipts from United India Insurance Corporation Ltd. (UIICL).
CIT(A) deleted an amount of Rs.3,530/- and sustained the balance addition of Rs.14,04,478/-. Being aggrieved, the present appeal is filed.
Conclusion- Held that the additional evidence, including the ledger accounts of UIICL, Chart of insurance amount sanction for patients and corresponding bills of patients insured by UIICL, were not submitted before the AO or the CIT(A). This additional evidence appears to have merit, as it could potentially reconcile the discrepancy in the receipts as per Form No. 26AS and the books of accounts. Considering the importance of this additional evidence, which could materially impact the outcome of the case, it is necessary that the CIT(A) reviews this evidence and decides the matter on its merits. The Departmental Representative, during the hearing, did not object to restoring the matter to the CIT(A) for a fresh decision.
