Assessee M/s. Smartowner Services India Pvt. Ltd, Bengaluru Income Tax Officer, Ward-6(1)(2),, Bengaluru

IN THE INCOME TAX APPELLATE TRIBUNAL
“B’’BENCH: BANGALORE
BEFORE SHRI GEORGE GEORGE K., JUDICIAL MEMBER
AND
SHRI B.R. BASKARAN, ACCOUNTANT MEMBER
ITA No.167/Bang/2018
Assessment Year:2013-14

M/s. Smartowner Services India Pvt.
Ltd.
8th Floor, Delta Block, Sigma Tech Park
Whitefield – Varthur Road
Near Ramagondanahalli
Bengaluru-560 066
PAN NO :AARCS7066C
APPELLANT 

Vs.

ITO Ward-6(1)(2)
Bengaluru
RESPONDENT

Appellant by : Smt. K. Soumya, A.R.
Respondent by : Shri Priyadarshi Mishra, D.R.
Date of Hearing : 09.11.2020
Date of Pronouncement : 01.12.2020

O R D E R

PER B.R. BASKARAN, ACCOUNTANT MEMBER:

The assessee has filed this appeal challenging the order dated 23.10.2017 passed by Ld. CIT(A)-6, Bengaluru and it relates to assessment year 2013-14. The assessee is aggrieved by the decision of Ld. CIT(A) in confirming the disallowance of Rs.53,52,643/- and Rs.21,08,384/- claimed by the assessee as expenses.

2. We have heard the rival submissions and perused the materials available on record. The assessee company wasincorporated on 19.6.2012 and hence this is the first year ofoperation. It is engaged in the business of real estate brokeragethrough e-platform. It filed this return of income declaring a total income of Rs.2,71,720/-. During the course of hearing, the A.O. asked for various details relating to brokerage and commission expenses of Rs.53,52,642/- and also legal & professional fees of Rs.21,08,384/-. Since the assessee did not furnish the details, the A.O. disallowed both the expenses cited above. The Ld. CIT(A) also confirmed the same and hence the assessee has filed this appeal before us.

3. The Ld. A.R. submitted that the assessee’s model of business is transparent, since all the transactions were conducted through web portal only. Further the payments towards brokerage, legal andprofessional charges were subjected to TDS obligations. Even though certain documents were furnished before AO/CIT(A), for the reasons beyond the control of the assessee, all documents required by the A.O. could not be furnished before him. The Ld. A.R.submitted that the assessee has collated all the documents in the form of 2 paper books and furnishing the same as additional evidences along with an application under rule 29 of the Appellate Tribunal Rules praying admission of the additional evidences. The Ld A.R submitted that the assessee was expecting another hearingopportunity before Ld CIT(A), so that it could furnish thedocuments before him. However, the Ld. CIT(A) has passed theorder without giving further opportunity and hence these documents are produced before the Tribunal as additional evidences. Accordingly, the Ld. A.R. prayed that these evidences be admitted and the matter may be restored to the file of the A.O. for examining both the issues afresh.

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