TaxTMI 
TaxTMI 
TaxTMI 
2014 (7) TMI 863
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....,000/- made u/s 69 of the I.T. Act, 1961. 2. The assessee on the other hand in its cross objection objected the action of the Ld. CIT(A) in holding the reopening of the assessment u/s 147 of the Act as valid. First we have heard appeal of the revenue. In support of the grounds the Ld. DR has basically placed reliance on the assessment order. He submitted that the assessee failed to produce the persons from whom amounts were received. Summons issued by the assessee to them were also not complied with. The AO was thus justified in observing that merely by filing the PAN/ITR details onus of the assessee is not discharged. AO has also observed on perusal of the bank accounts of those four parties that immediately before issuing cheque, cash ha....
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....- from M/s. Polo Leasing & fin. P. Ltd. and Rs. 4,00,000/- from M/s. M.V. Marketing Pvt. Ltd. against selling of its investments acquired earlier years. The details of those sales were provided to the AO alongiwth details of the purchases, confirmations copy of income tax returns and supporting documents. It was submitted that the shares sold were acquired in earlier years and the same had been transferred during this year on the basis of which amounts had been received from the said four parties. It was decided that onus lies upon the revenue to prove that unexplained money has actually emanated from the coffers of the assessee before it could be treated as undisclosed income of the assessee. It was submitted that the AO has not disputed v....
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....t since the assessing officer has not disputed that these shares had been accounted for by the appellant from earlier years and the sale of the shares had also not been disputed by the AO, since the income tax returns and the confirmations had been provided by the appellant, it should be sufficient to establish that a genuine sale had taken place. Even if there were cash deposits which appear to the suspicious, they should be considered first in the hands of those parties unless there is some evidence to establish that these cash deposits belong to the appellant. In this regard reliance placed by the AR of the appellant all the decision of CIT Vrs. Value capital (Supra) is also very relevant. II. The AR of the appellant has emphasised that....
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....nder these circumstances the assessing officer was not justified in making the addition u/s 68 of the Income tax act. This ground of appellant is therefore treated as allowed. 6. Before the Tribunal the assessee has also filed those documents before the authorities below in support of the claim. These are copies of acknowledge of return of income alongwith computation thereof, audited balance sheet and profit and loss account, replies of the assessee filed before the AO, ledger account of investment, statement showing details of investment as on 31.3.2002 and 31.3.2003, statement of details of investments sold, statement of bank account for the period 1.4.2002 to 31.3.2003, purchase details of investment sold during the year alongwith corr....