TaxTMI 
TaxTMI 
2019 (2) TMI 150
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....ance of section 151(2) of the Act. 4) That the Ld. AO has disposed of objections to notice u/s 148 by a non-speaking order. The assessment framed deserves to be quashed as the initiation as well as framing of the assessment is arbitrary, illegal and void ab initio. B) That on facts & in law additions of Rs. 15,00,000/- u/s 68 is totally wrong & unjustified. During the year under consideration assessee has not taken any unsecured loan, Ld. AO has wrongly treated sum of Rs. 15,00,000/- as unexplained cash credit u/s 68 of the Act. Therefore, additions of Rs. 15,00,000/- deserves to be deleted in full. 2. The brief facts of the case are that the assessee filed its return of income for the year under consideration on 09.03.2011 declaring total income of Rs. 1,83,770/-. The assessee is engaged in the retail business of building material and filed return u/s. 44AF. She is also deriving vocational income, for which she has shown total income of Rs. 1,24,144/- against gross receipts of Rs. 1,95,850/-. The Assessing Officer received AIR information that the assessee has deposited cash of Rs. 27,62,500/- in her S/B account maintained with PNB during the year under consideration. The Ass....
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....29.09.2009 against cash withdrawn on 23.09.2009. Further, there is cash deposited of Rs. 15 lacs on 29.09.2009, in this regard, it is submitted that Indian Oil Corporation had given advertisement in news paper Amur Ujjala on 26.08.2009for retail outlet under Kisan Sewa Kendra. In said advertisement at s.no-154 Indian Oil Corporation wanted to set up its fuel failing station at Latifpur, Hastinapur, Meerut. In process of applyingretail outlet of Indian Oil at Latifpur, assessee & 3 other namely Gopal Gotam, Kuldeep & Dinesh Sharma decided to apply for this retail outlet of Indian Oil. All had agreed to contributes Rs. 5Lac each as capita! contribution towards retail Outlet at Latifpur. Thereafter assessee was desired to apply for retail outlet in individual capacity and in connection this she opened her bank account with Punjab National Bank, Hastinapur on 15.09.2909. Subsequently assessee obtained demand draft no-733324 dated 25.09.2009 for Rs. 100/- in favour of Indian Oil Corporation from Punjab National Bank towards application fee. Later on, on 25.09.2009 these three persons showed their interest in setting up retail outlet along with the assessee and they have directly dep....
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....of decisions, as cited before the ld. CIT(A) and mentioned in the impugned order. On merits, it was submitted that the assessee had furnished plausible explanations supported by statements of one of the creditors and their confirmations to establish the cash credits in bank account as genuine. He relied on the submissions made before the ld. First appellate authority. 4. On the other hand, the ld. DR relied on the orders of the authorities below and submitted that proper procedure has been adopted by the Assessing Officer to initiate the proceedings u/s. 147/148 against the assessee and the assessee failed to establish the creditworthiness of the creditors at all. Therefore, the assessee being unable to discharge the onus that lay on him u/s. 68, the ld. Authorities below were quite justified to sustain the addition on merits also. 5. We have considered the rival submissions and have gone through the entire material available on record including the impugned order and the decisions relied by the assessee and we find no infirmity in the decision reached by the ld. CIT(A) in the attending facts and circumstances of the present case. On the legal aspect of the case as well as on me....
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....ws and legal contentions have on the present case. It was incumbent upon the Ld. AR to factually rebut the reasons by way of proper evidence. The AO has given reasoned factual rebuttal to the objections filed. I see no infirmity in his response. This contention and ground of the assessee thus fails. As regards non-issuance of show cause I find that the order has been passed u/s 143(3) and sufficient opportunity has been given to the assessee. In this regard it is pertinent to note that the AO has not mechanically added the entire bank deposit after considering the evidences filed and arguments given during the assessment he has added on 15 lacs out of total deposit of 29 lacs odd. Even otherwise the Appeal proceedings are a continuation of the Assessment proceedings and the assessee has been given sufficient opportunity to make his point. Thus, the contention of the Ld. AR is of no consequence and therefore it fails. 4.3, GROUND No. 6. On the substantive issue of deposit it is seen for the order of the A.O. that after examining the deposits and withdrawal with impugned bank account that the credit of Rs. 15,00,000/- received from Sh. Kuldeep and Gopal Gotam and Dinesh Kumar....