TaxTMI 
TaxTMI 
2014 (3) TMI 618
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.... two persons who are other than the loan creditors of the assessee." 2.The appellant prays that the order of the CIT(A) on the above ground(s) be set aside and that of the Assessing Officer be restored." 3.The appellant craves leave amend or alter any ground or add a new ground which may be necessary." 2.Assessee, an individual, filed his return of income on 14.09.2008 declaring total income at Rs. 1.33 lacs. AO finalised the assessment on 30.12.2010, determining the income of the assessee at Rs.23.80 lacs.During the assessment proceedings AO found that the assessee had shown unsecured loans of Rs. 27.95 lacs in the name of following parties. Sr. No. Name of the persons Amount (Rs.) 1. Amba V. Bangari 1, 00, 984.05 2. Bachuben L. P....
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....ould not be made for the year concerned, that all the parties to whom notices u/s. 133(6) of the Act were issued had replied on 07.12.2010, that all of them had confirmed the loan transactions, that there was no justification to invoke the provisions of section 68 of the Act. After considering the submissions of the assessee AO held that assessee had not filed satisfactory explanation and finally he made an addition of Rs. 22.46 lacs u/s. 68 of the Act. 3.Assessee preferred an appeal before the First Appellate Authority (FAA). Before him assessee submitted as under: "As such the amount of Rs. 22, 46, 422/- was added u/s 68 of I.T.Act, 1961 on account of cash credit. The Assessing Officer issued notices u/s 133(6) of I.T.Act, 1961 to the c....
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.... February 1998. The copy of the letter enclosed in the paper book. The appellant further states that the loans have been repaid subsequently as will be evidenced from the details that are being furnished before your honour. The letter and the evidence with regard to repayments of loan constitutes additional evidence." In the light of the assessee's submissions regarding payments made to the loan creditors he directed the AO, vide his letter dated 14.10.2011, to make enquiries in this regard. He also directed the AO to verify the assessment records to find out the truth about the claim made by the assessee that unsecured loans were very old and that same were verified by the then AOs for Assessment Year 2003-04/2004-05.In the remand report,....
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....st time in the year under appeal, that the credit balance of Rs. 22.46 lacs was being reflected in the accounts of the assessee over past 4/5 years, that the said amount could not be treated fresh credits, that credit entries were already made and accounted for in the AYs 2003- 04 and 2005-06, that the credit balance appeared in the accounts of the assessee did not pertain to the year under appeal, that AO was not justified making the impugned addition u/s. 68 of the Act. 4. Before us, Departmental Representative (DR) submitted that assessee had not filed the details of the creditors, matter should be restored back to the file of the AO. Nobody appeared on behalf of the assessee. 5. We have heard the rival submissions and perused the mate....