TaxTMI 
TaxTMI 
2017 (9) TMI 246
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.... and in the circumstances of the case, and in law, the Ld. CIT(A) has erred in deleting the addition made o fRs. 71,76,750/- made u/s. 68 of the I.T. Act being the unexplained cash credits. 2.1 The Ld. CIT(A) ignored the findings recorded by the AO and the fact that the assessee is involved in the business of receiving accommodation entries. 3. The appellant craves leave to add, to alter, or amend any grounds of the appeal raised above at the time of the hearing. 2. The brief facts of the case are that the assessee company is a private limited company engaged in the business of finance and investment activities. The primary business of the company is to purchase and sale of shares of various companies and to invest in s....
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....w the facts and circumstances of the present case and the issue involved in the present Appeal, we are of the view that no useful purpose would be served to issue notice again and again to the assessee, therefore, we are deciding the present appeal exparte qua assessee, after hearing the Ld. DR and perusing the records. 5. We have heard the Ld. DR and perused the records, especially the order of the Ld. CIT(A). We find that Ld. First Appellate Authority has adjudicated the issue in dispute vide para no. 4.1 to 4.4 at page no. 5 to 8 of the impugned order. The said relevant findings of the Ld. CIT(A) are reproduced as under:- "4.1 I have carefully considered the submissions made on behalf of the appellant, the findings of the Ass....
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....f the appellant company does not leave any room for doubt that the said amount was nothing but the sale proceeds of the shares of the companies, namely M/s Padmini Polymer Pvt Ltd. And other companies which have already been shown by the appellant in the Profit & Loss Account for A.Y. 2001-02. When the sale proceeds of the shares have already been shown by the appellant and the same have also been offered as income, it cannot be brought to tax again in the same A.Y. 2001-02 which is under appeal. 4.2 It is also seen that the Assessing Officer could not point out any discrepancy in the evidences relied upon by the assessee. He has neither brought out any direct or inferential evidence to contradict the contention of the assessee. It....
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....ecessary to also have them examined by the respective AO having jurisdiction over it which has not been done by him. 4.3 Since the addition has been made as unexplained cash credit, it is considered necessary to examine the case in the light of the provisions of section 68 of the Act. Under section 68 of the Act if any sum is found credited in the books of accounts of the appellant & the appellant offers no explanation about the nature and source thereof or the explanation offered by him is not satisfactory in the opinion of the Assessing Officer, the sum so credited may be charged to income tax as the income of the assessee of the relevant previous year. Therefore, what has to be enquired into by the Assessing Officer is the natur....
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.... s. CIT (1976) 103 ITR 344 (Pat.); CIT vs. Orissa Corpn. (P) Ltd. (1986) 159 ITR 78 (SC) & Kishan Chand Chellaran vs. CIT 125 713 (SC). In this regard, it is important to take note of the judgment in the case of Kishan Chand Chellaram (Supra) holding that the burden is on the department to show that the money belonged to the assessee by bringing proper evidence on record & the assessee could not be expected to put evidence to help the department to discharge the burden that lay upon it. The evidence, if any, gathered behind the back of the assessee cannot be used against him without confronting him with it. There is no evidence on the basis of which Assessing Officer would come to a finding that sum credited in the bank account of the asses....