TaxTMI 
TaxTMI 
2008 (8) TMI 391
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....ngly confirmed addition of Rs. 8,90,000 on account of share capital as the source of it was not proved, which was on account of Rs. 2 lakhs in name of Smt. Kamla Devi, Rs. 2 lakhs in name of Smt. Sarita Agrawal and Rs. 4,90,000 on account of Anju Chordia. The learned CIT(A) has not properly considered evidences on record in which source of share application money/creditor was fully established. The assessee has fully established transactions, genuineness of the credit in their names by filing evidences, but learned CIT(A) has ignored the same and simply routed order in another fashion, that Assessing Officer can verify the transaction of share application money, accordingly learned CIT(A) has ignored paper books/evidences filed before Asse....
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....e matter be restored to the file of the Assessing Officer with the direction to de novo consider and examine the material and other evidence canvassed by the assessee in support of the share capital and share application moneys credited in its balance sheet for the year under consideration. The Assessing Officer shall allow reasonable opportunity to the assessee of being heard in the matter and thereafter pass appropriate orders in accordance with law." 3. It is crystal clear from the above order of the Tribunal that the Tribunal was satisfied that both the lower authorities have not given any finding with regard to efficacious and voluminous matter and evidence relied upon. The Tribunal also observed that "assessee has placed before the l....
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....lication money, Assessing Officer issued summons to her and contacted on her mobile phone. As the assessee did not appear before the Assessing Officer, Assessing Officer made addition for the amount received through cheque. As per learned Authorised Representative, the Assessing Officer has wide powers to act for compelling the appearance under section 131 of the Income-tax Act, 1961. He submitted that assessee company has filed confirmation of such share capital, full whereabouts of the shareholders, therefore, their identity was duly proved, the amount received through account payee cheque which was duly credited in the bank account "State Bank of Travencore, Noida" hence, genuineness of transaction was also proved. The learned Authorised....
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....es are given to the Assessing Officer then the Department is free to proceed to reopen their individual assessments in accordance with law. 5. On the other hand, contention of the learned Departmental Representative was that assessee company, in spite of giving various opportunities, could not substantiate the creditworthiness of the share applicants, therefore, no fault can be found in the order of lower authorities, for adding the same under section 68 of the Income-tax Act, 1961. 6. We have considered the rival contentions, carefully gone through the orders of authorities below. There is no dispute to the fact the money so received was on account of share application and the same was credited by the assessee in his share capital accoun....