In ITA No. 3017/Del/2022- ITAT- ITAT (Delhi) remands matter to Assessing Officer for fresh adjudication due to lack of examination in assessment order
Member Challa Nagendra Prasad (Judicial) [22-05-2023]

Read Order: Denso Ten Minda India Pvt. Ltd v. ACIT

Chahat Varma

New Delhi, May 23, 2023: The Delhi bench of the Income Tax Appellate Tribunal has noted that the assessment order pertaining to Denso Ten Minda India Pvt. Ltd. (assessee) lacked proper examination and discussion by the Assessing Officer (AO) regarding certain issues raised. As a result, the Tribunal has remanded the matter back to the AO for a fresh adjudication.

The counsel for the assessee had argued that the assessee had computed the book profits under section 115JB of the Income Tax Act at Rs. 11,99,54,253/-. The AO, in completing the assessment under section 143(3) of the Act, did not discuss any adjustment made to the book profits. However, the computation sheet prepared by the AO computed the book profits at Rs. 14,94,84,614/- without providing any explanation in the assessment order.

After a thorough review of the orders issued by the lower authorities and a careful analysis of the income computation and disclosures made by the assessee, the Tribunal noted that the assessee had declared a net amount instead of providing separate reporting for each item. Furthermore, the Tribunal observed that the AO had not conducted any examination or discussion regarding this matter in the assessment order. In light of these findings, the Tribunal decided to remand the issue back to the AO.