2018 (8) TMI 1744

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....(in short "the Act") dated 27.03.2014 for the Assessment Year 2011- 12. 2. None appeared on behalf of the assessee when the case was called on. Hence we proceed to dispose of this appeal on hearing the ld DR. 3. The first issue to be decided in this appeal is as to whether the ld CITA was justified in deleting the addition towards unsecured loans in the sum of Rs. 31,58,367/- u/s 68 of the Act in the facts and circumstances of the case. 3.1. The brief facts of this issue are that the assessee is a Government Contractor executing civil contract works for various Government departments. The assessee had filed his return of income for the Asst Year 2011-12 on 30.9.2011 declaring total income of Rs. 22,83,680/-. The assessee produced t....

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....he observation of the ld AO that no reply was received from loan creditors was factually wrong. With these observations, he deleted the addition made u/s 68 of the Act. Aggrieved, the revenue is in appeal before us. 3.3. We have heard the ld DR. We find that the ld CITA had given a finding that on examination of books and records, the unsecured loans of Rs. 31,58,367/- were only brought forward from earlier assessment years by the assessee and that the same were not received during the year under appeal. This fact remain uncontroverted by the ld DR before us. Hence the provisions of section 68 of the Act cannot be applied at all for the year under appeal before us. Hence we hold that the ld CITA had rightly deleted the addition thereon w....