Income Tax Appellate Tribunal - Delhi
Deepak Dhar Gupta, New Delhi vs Acit, New Delhi on 7 January, 2020
IN THE INCOME TAX APPELLATE TRIBUNAL
DELHI BENCH 'B', NEW DELHI
Before Sh. H. S. Sidhu, Judicial Member
Dr. B. R. R. Kumar, Accountant Member
ITA No. 2340/Del/2017 : Asstt. Year : 2011-12
Sh. Deepak Dhar Gupta, Vs Assistant Commissioner of
A-145, New Friends Colony, Income Tax, Circle-23(1),
New Delhi-110048 New Delhi
(APPELLANT) (RESPONDENT)
PAN No. ACNPG1164G
Assessee by : None
Revenue by : Ms. Ashima Neb, Sr. DR
Date of Hearing: 10.12.2019 Date of Pronouncement: 07.01.2020
ORDER
Per Dr. B. R. R. Kumar, Accountant Member:
The present appeal has been filed by the assesse e against the order of ld. CIT (A)-10, New Delhi dated 28.02.2017.
2. During the course of hearing today, nobody was present on behalf of the assessee, neither any adjournment was sought, hence the matter being decided on merits based on the facts available on record.
3. Following grounds have been raised by the assessee:
"On the facts and circumstances the ld. CIT (A) has erred by confirming the addition of Rs.9,01,670/-. The ld. CIT (A) has not appreciated the facts applicable to the case.
The ld. CIT (A) has not considered the deduction of payment of interest out of interest income."
4. The moot issue pertains to disallowance of interest claimed by the assessee u/s 36(1)(iii) of the Income Tax Act, 1961. The said disallowance 2 ITA No. 2340/Del/2017 Deepak Dhar Gupta has been confirmed by the ld. CIT (A) owing to lack of supporting documents regarding the loan and utilization thereof for the purpose of business. The assessee could not prove the nexus between the receipt of the loan and repayment of any earlier loans. The ld. DR fairly argued that the matter needs to be examined by the revenue and the assessee may be directed to provide necessary evidences before the authorities. We find that interest of justice would be met, if the assessee is given an opportunity to submit the details regarding the loan and utilization thereof before the ld. CIT (A) so that a considered decision can be taken up by the revenue based on the evidences submitted. The assessee is directed to comply to the notices issued by the revenue authorities and we hope that the assessee would not misuse the trust reposed upon him.
5. In the result, the appeal of the assessee is allowed for statistical purpose.
Orde r Pronounced in the Open Court on 07/01/2020.
Sd/- Sd/-
(H. S. Sidhu) (Dr. B. R. R. Kumar)
Judicial Member Accountant Member
Dated: 07/01/2020
*Subodh*
Copy forwarded to:
1. Appellant
2. Respondent
3. CIT
4. CIT(Appeals)
5. DR: ITAT
ASSISTANT REGISTRAR