Income tax
Sarabjeet Singh
(Querist) 12 October 2012
This query is : Resolved
Proof of Cash Credit Could Not be Furnished before A.O. The Appellate Authority CIT (A) did not entertain the Proof of Deposit. Can fresh evident be given in appellate tribunal as the loan was taken through A/c Payee’s cheque from existing assesses we need judicial Pronouncement.
Ms.Nirmala P.Rao
(Expert) 13 October 2012
Dear Client,
Yes you can produce additional evidence before the Appellate Authority under Rule 46 A of I.T.Act.) Production of additional evidence. (Rule 46A) :- The CBDT has framed Rule 46A which
provides that the appellant shall not be entitled to produce additional evidence before
appellate authority except in the following circumstances :
1) Where assessing officer refused to admit the said evidence which ought to have
been admitted.
2) Where appellant was prevented by sufficient cause from producing evidence
called upon by the assessing officer or relevant to any ground in appeal.
3) Where the appellant was prevented by sufficient cause from producing before the
assessing officer any evidence which is relevant to any ground of appeal.
4) Where assessing officer made the impugned order without giving sufficient
opportunity to appellant.
However, the appellate authority must record in writing the reasons for admission of
additional evidence.
2) As regards the powers of appellate authority are concerned, it is well settled that the
appellate authority’s powers are wide enough to cover power to admit additional
evidence. [Babula Chhapalia (1966) 18 STC 17 (SC)
But before admitting the additional evidence by the assessee at the appeal stage, the Appellate Authority must give sufficient opportunity to the AO, to produce oral and documentary evidence to rebut the plea of the asseesse to produce additional evidence at the stage of the appeal.
Ms.Nirmala P.Rao
Legal Expert.
