2015 (2) TMI 533

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.... and in law, the Ld. CIT(A) has erred in deleting the addition of Rs. 1,07,31,000/- made by the AO on account of unexplained cash credit u/s. 68 of the Act.            2. The appellant craves leave, to add, alter or amend any ground of appeal raised above at the time of the hearing." 2. The facts in brief are that the assessment order was passed by the AO on 30.12.2009 u/s. 147/143(3) of the Income Tax Act, 1961, assessing the total income at Rs. 1,07,21,150/- for the assessment year 2002-03 thereby making an addition of Rs. 1,07,31,000/- u/s. 68 of the Act. Being aggrieved with the aforesaid assessment order, assessee appealed before the Ld. CIT(A), who vide impugned order dated 27.10....

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....aving the sufficient liquidity of the funds to invest in Share Capital without arranging the cash funds. The source of the said cash fund has been explained in their statements to have received from the persons to whom cheques/draft were issued for purchasing the shares of the assessee company. The cash was routed through several accounts. C. Relevant Case Laws relied upon      1. Commissioner of Income Tax Vs. Nova Promoters & Finlease (P) Ltd. 342 ITR 169 (Delhi He)            ⦁ Critical fact/evidence was the statement of Shri Mukesh Gupta and Shri Rajesh Jassal before Investigation Wing who provided accommodation entries     &nbsp....

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....ued share capital of 11 lakhs at a premium of 1000% and received a sum of Rs. 1.10 crores from 39 shareholders. The CIT (Appeals) and Tribunal deleted the addition u/s 68 made by AO on the ground that assessee has produced the identity of shareholders and 28 out of 39 S/H have responded to the notices served u/s 133(6) also. The HC made the addition in respect of 11 investors who either did not receive the notice or did not submit any confirmation - Commissioner of Income Tax vs. Empire Buildtech P. Ltd." 5. On the contrary, Ld. Counsel of the assessee relied upon the order of the Ld. First Appellate Authority and filed a Paper Book containing the pages 1 to 47 having the copies of the following orders of the Delhi High Court and ITAT, D....

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....ubmission filed by the Ld. consul before me it was submitted that the amount was received in the form' of share application money which was duly considered in the Board Meeting, shares were allotted by the respective board to the share holders for which all the necessary formalities being board meeting, return of allotment to the Registrar of Companies issue of share filing of Annual Return was completed by the company. All the three conditions i.e." Identity Creditworthiness and genuineness of the transaction have been proved beyond doubt as per documentary evidence place on record. Further Shri Mukesh Gupta whose statement has been made as basis for that he has invested the money in lieu of cash, the Assessing Officer has drawn his....