ITA No.4149/Del/2024
Case No: ITA No.4149/Del/2024
Court: INCOME TAX APPELLATE TRIBUNAL, DELHI “E” BENCH: NEW DELHI
Date: 2/12/2025
Parties Involved
appellantDCIT Faridabad
respondentM V Agro Engineers Pvt.Ltd.
Facts Summary
The assessee, M V Agro Engineers Pvt. Ltd., a Private Limited Domestic Company engaged in manufacturing flour mills and rice mills, entered into a contract with the Federal Ministry of Agriculture and Rural Development, Abuja, Nigeria, for the supply, installation, and setup of ten rice mills in Nigeria. The contract was divided into three segments, with the Indian company responsible for the supply and installation of machinery. The assessee incurred commission expenses payable to a non-residen…
Decision in favour of
Assessee
Legal Issues
- 1. Whether the CIT(A) erred in calling for and admitting fresh evidence on the issue of commission payment and salary paid outside India without offering an opportunity to the AO to assess the veracity and relevance of such information.
- 2. Whether the CIT(A) erred in disallowing salary expenses paid outside India in violation of the provisions of section 40(a)(iii).
1 more legal issue analysed in this judgement.
Precedents Relied Upon
4 precedents cited in this judgement.