Can Rent Payment be treated as income of the assessee if Rent Agreement is not produced?

IN THE INCOME TAX APPELLATE TRIBUNAL
DELHI “SMC-1” BENCH: NEW DELHI
(THROUGH VIDEO CONFERENCING)

BEFORE SHRI KUL BHARAT, JUDICIAL MEMBER

ITA No.2553/Del/2019
Assessment Year : 2015-16

Qube Services Pvt.Ltd.,
C-23, 24, Sant Ram Road,
Asola, Fatehpur Bheri,
New delhi-110074.
PAN-AAACQ3346G
APPELLANT 

vs 

ITO,
Ward-20(3),
New Delhi.
RESPONDENT

Appellant by Sh. Prasanna Agiga, CA
Respondent by Sh.Gaurav Pundir, Sr. DR

Date of Hearing 19.07.2021
Date of Pronouncement 23.07.2021

ORDER

PER KUL BHARAT, JM :

This appeal filed by the assessee for the assessment year 2015-16 is directed against the order of Ld. CIT(A)-38, New Delhi dated 24.01.2019. The assessee has raised following grounds of appeal:-

1. " The order of the assessing officer is erroneous on the facts and in the law. On the fact and in the circumstances of the case he ought to have accepted the returned income.

2) The learned assessing officer is not justified in treating the RentPayment by the appellant as his income on the plea that thesupporting documents called "Rent Agreement" has been not being produced during such short of time. On the fact and in the circumstances of the case he ought to have accepted that Rent payment was requirement of business and it cannot happen without the payment of the said rent; 

3) Initially Appeal was filed against the order dated 20th December 2017 for AY 2015-2016 passed by ITO, ward 20(3), New Delhi u/s 143(3) of the Income tax act, 1961 with CIT(A)-07, New Delhi on 11th January 2018. The hearing date was fixed on25/09/2018 and subsequently we were communicated to present on 17th October 2018. We have presented before the CIT(A)-7 ,New Delhi and explain the case accordingly the fact anddocuments like rental agreement of warehouses to Sh.SameerKumar Srivastava Commissioner of Income tax (A) - 07. On the later stage we were asked to submit the soft copy of documents on email id citappeals7newdelhi@gmail.com and we had made submission the whole documents as on 5th November 2018(email copy is enclosed for the references). After some time we have visited to department for enquiry of the development of the cases and we were intimated that it had send to AO for the considerations. As we have not received any communication from the department we have followed during the end of December 2018 and came to know that our case have been transferred to CIT(A)-38, New Delhi without having any information to us .The same day we have visited to CIT-(A)-38,New Delhi and also came to know that Madam (Smt.Shefali Swaroop) was not in the office and also we had intimated thatdepartment will communicate to us regarding the cases. As on 24th Jan 2019,We have received a call and being intimated that we were supposed to present today at 11 AM as we were not in town requested to fix the meeting as on 28th Jan 2019 after the Republic day holidays (I also observed that department had send a Mail regarding this which was overlooked by us due to not available in town) . I have visited the office as on 28th at 11AM and had a meeting with Madam CIT(A) ,she informed that will update you the case as the file was not available at that time and asked to come next day i.e 29th January 2019 at 11 AM. 

To know more in details find the attachment file