The assessment of the petitioner was reopened on the basis of information received from the Investigation wing , \u00a0that the parties who have advanced the\u00a0 money to the petitioner were only name lenders . The\u00a0 Assessing Officer made addition under section 68 of the Act. On appeal the petitioner produced the additional evidence in the form of confirmation , bank statement etc. CIT(A) deleted the addition relying on the additional evidences produced by the petitioner .\u00a0\u00a0\u00a0 The Revenue\u00a0 has filed an appeal before the Tribunal , however the Revenue has not raised the ground \u00a0of admitting the additional ground in violation of Rule 46A of the\u00a0 of the Income -tax Rules , 1962 . \u00a0The Tribunal allowed the appeal of the Revenue on the ground that\u00a0 the CIT( A) admitted the additional evidence , without following the procedure prescribed as per Rule 46A of the Income -tax, Rules 1962 .\u00a0\u00a0 \u00a0The\u00a0 petitioner moved an application under section 254(2) of the Act, on various grounds . The Tribunal rejected the application on the ground\u00a0 that , the counsel has\u00a0 not consented for\u00a0 producing the lender if the matter is restored before the CIT(A) or the Assessing Officer . The petitioner filed a \u00a0writ against and dismissal of the miscellaneous petition and also appeal against the order of the Tribunal wherein the Tribunal has allowed the appeal of the Revenue . Allowing the writ petition the Honourable High Court quashed the order of the Tribunal rejecting the Miscellaneous Application as well\u00a0 as order of the Tribunal allowing the appeal of the Revenue . Honourable High\u00a0 Court directed the CIT(A) to decide the issue on merit by following the due process of law\u00a0 and complying \u00a0procedure prescribed as per the Rule 46A of the Income -tax Rules , 1962 . The Honourable Court also observed that if the Assessing Officer feels that the \u00a0presence of the certain parties are required by him to probe the matter further or go behind the entries made by the assessee in its books of account , the Assessing Officer should exercise his powers under Section 131 of the Act by issuing a summons to those parties . ( WP NO. 2440 of 2023 dt 18 -12-2023 ) ( AY. 2011 -12 ) \u00a0( ITA No 2373 of 2023 dt\u00a0 18 -12 -2023 ) ( MA No, 178 -179 Mum. 2019\u00a0 dt . 21 -11- 2022 , ITA No. 2595\/ Mum\/ 2019 , & CO No. 103 \/Mum\/ 2021 dt 29 -4 -2022 )<\/p>\n","protected":false},"excerpt":{"rendered":"
S. 254(2): Appellate Tribunal-Rectification of mistake apparent from the record \u2013 Cash credits \u2013Accommodation entries – Additional evidence – Violation of Rule 46A by CIT(A)- Failure to produce the parties \u2013 Assessing Officer should exercise his powers under section 131 of the Act \u2013 Assessee cannot be compelled to produce the parties \u2013 Order of Tribunal rejecting the miscellaneous application and reversing the order of the CIT(A) is quashed and set aside \u2013 CIT(A) is directed to decide the appeal a fresh in accordance with law and following the procedure prescribed as per Rule 46A of the Income -tax Rules , 1962 . [S. 68, 131 , 254(1) , Art . 226 ] <\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-38163","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-9Vx","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/38163","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=38163"}],"version-history":[{"count":2,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/38163\/revisions"}],"predecessor-version":[{"id":54333,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/38163\/revisions\/54333"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=38163"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=38163"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=38163"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}