JR Modi Associates Ltd. Vs. Deputy Commissioner of Income Tax, Circle 13(1), New Delhi

Parties Involved

Facts Summary

The assessee company, JR Modi Associates Ltd., is engaged mainly as a builder and developer apart from being a real estate consultant. The company filed its return of income electronically on 09.09.2016 declaring a total income of Rs.50,91,290/-, which was later revised on 15.09.2016 to Rs.50,56,404/-. The case was selected for complete scrutiny and various notices were issued under Sections 143(2) and 142(1) of the Income-Tax Act. The Assessing Officer (AO) made an addition of Rs.45,00,000/- and Rs.7,200/- in the assessment order dated 25.12.2018. The assessee appealed against this order before the Commissioner of Income Tax (Appeals) (CIT(A)), which was dismissed on 09.08.2023. The assessee then filed the present appeal before the Income Tax Appellate Tribunal (ITAT).…

Legal Issues

• 1. Whether the CIT(A) erred in confirming the AO's order without assuming proper jurisdiction and complying with statutory conditions under Sections 143(2) and 143(3) of the Income Tax Act.
• 2. Whether the CIT(A) erred in confirming the addition of Rs.45,00,000/- under Section 68 of the Act by the AO.
• 3. Whether the addition of Rs.45,00,000/- under Section 68 is bad in law and against the facts and circumstances of the case.
• 4. Whether the CIT(A)'s order and the additions made therein are illegal, bad in law, and not sustainable.
• 5. Whether the CIT(A) erred in not reversing the AO's action in charging interest and initiating proceedings under Sections 234B, 234D, 244A, and 271(1)(c) of the Income Tax Act.

Judgment Outcome

Decided in favour of Partly Assessee / Partly Revenue.

Precedents Relied Upon

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