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V.P. Abdul Kareem vs. Income Tax Officer

Case No: ITA Nos. 844 to 846/Coch/2022
Court: Income Tax Appellate Tribunal, Cochin Bench
Date: 30 Sep 2024

Parties Involved

appellantV.P. Abdul Kareem
respondentIncome Tax Officer

Facts Summary

The case involves an appeal by V.P. Abdul Kareem against the orders of the National Faceless Appeal Centre, Delhi [CIT(A)] dated 09.06.2022 for Assessment Years (AY) 2008-09, 2009-10 & 2011-12. The assessee raised an issue regarding the addition made by the Assessing Officer (AO) amounting to Rs. 31,81,328/- on account of deemed dividend u/s 2(22)(e) of the Income Tax Act, 1961. The assessee contended that the District Court, Kozhikode, had ruled that the assessee was neither a shareholder nor a Director in the company, M/s. Golsoft Technologies Pvt. Ltd., and thus, the provisions of section 2(22)(e) of the Act could not be applied. The learned A.R. also pointed out that the learned CIT(A) did not consider the facts that emerged after the assessment order. The learned Sr. DR did not object to setting aside the issue to the file of the AO for fresh adjudication. After hearing both parties and reviewing the records, the tribunal set aside the findings of the CIT(A) and restored the issue to the file of the AO for fresh assessment.

Decision in favour of

Assessee

Legal Issues

  • 1. The assessee contends that the learned CIT(A) erred in confirming the addition made by the AO amounting to Rs. 31,81,328/- on account of deemed dividend u/s 2(22)(e) of the Income Tax Act, 1961.

Judgment Outcome

Decided in favour of Assessee.

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V.P. Abdul Kareem vs. Income Tax Officer | ITA Nos. 844 to 846/Coch/2022 | 2024 | Opakhya