TaxTMI 
TaxTMI 
2017 (1) TMI 1043
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....td (IPPL). The assessee filed return of income on 12.03.2008 admitting an income of Rs. 10,73,840/-. The Department acquired information from the charge sheet filed by the CBI in the case of M/s Emmar Hills Township Pvt. Ltd, that assessee paid excess payment to the M/s Emmar Hills Township Pvt. Ltd for acquiring a property. Notice u/s 148 was issued. The assessee was not provided reasons for issue of notice. However, to cooperate with the Department the assessee furnished the entire information sought by the Assessing Officer. The assessee submitted that a survey u/s 133A was conducted in the case of M/s IPPL wherein the company has offered Rs. 1,42,73,400/- additional income for the assessment year 2007-08, a part of this amount was given....
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....ny is required to maintain books of accounts as per the Accounting Standard prescribed by the Institute. It is submitted that if the company omitted any of the transaction to reflect as per the Accounting Standards it is the company which is liable for the action as per the Companies Act. However, the income of the company is to be assessed as per the provisions of the I.T. Act, in case the Accounting Standards are not in consonance with the provisions of the I.T. Act. However, this issue of maintenance of accounts as per the Accounting Standards is not relevant to decide whether the company advanced Rs. 99,00,000/- to purchase the land. 3. During the course of assessment proceedings the assessee furnished audited financial statements of....
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.... therefore, it is respectfully submitted that the burden of proof laid upon the assessee by the section 69 of the I.T. Act is discharged by the assessee to the satisfaction of the AO." 4. After considering the submissions of the assessee, the CIT(A) observed that the AO mainly made the addition of Rs. 49,50,000/- as investment in Emmar Hills and Townships by not accepting the assessee's submission that "these payments were made from the income in the hands of the company and advances given for the property out of said income as there was no other income for the assessee and there was no cash at the time of survey and it has been accepted that cash has been received and utilized by the Directors at the time of survey operations". CIT(A) o....
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.... to the above, whether in the facts and circumstances of the case, the explanation of the assessee that the company has advanced the amount in cash on behalf of him for purchase of property is acceptable when the said transaction was not reflected in the Company's annual report for F.Y. 2007- 08 relevant to A.Y. 2008-09 ?" 6. At the time of hearing of this appeal, none appeared on behalf of the assessee. However, we proceed to dispose of this appeal after hearing the ld. DR and on merits. 7. Before us, the ld. DR submitted that the explanations offered by the assessee are not substantiated by corroborative evidences and the audited financial statement of the company M/s IPPL did not reflect the transactions, claimed by the assesse....