2019 (3) TMI 1244

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....ia that : 1. Whether in the facts and circumstances of the case, the Id. Commissioner of Income Tax (Appeals) has erred in law and fact in deleting the addition of Rs. 95,00,000/- made by the Assessing Officer u/s 68 of the I.T. Act, 1961, ignoring the fact that the companies which had advanced unsecured loans to the assessee had declared very low incomes in their ITRs, thus casting a doubt upon the genuineness of the transaction. 2. Whether in the facts and circumstances of the case, the Id.Commissioner of Income Tax (Appeals) has erred in law and fact in deleting the addition made by the A.O. without taking into consideration the fact that in spite of several opportunities provided to the assessee, neither did the assessee produce the....

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....t in dispute that the assessee has filed copy of Income Tax return, Bank Account confirmed copy of account from its books of accounts, bank statement and copy of Form 16A to prove the fact that assessee has deducted TDS on interest payment to the aforesaid party. 5. When assessee has duly discharged its initial onus by proving the identity of the creditors by filing their copy of ITR, Bank Accounts, the addition u/s 68 of the Act cannot sustain merely on the ground that assessee has failed to produce them despite issuance of summons u/s 131 of the Act. 6. Hon'ble Gujarat High Court in case cited as 256 ITR 360 Dy. Commissioner of Income Tax vs. Rohini Builders decided the identical issue in favour of the assessee that when assessee has di....

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....e income of the assessee of that previous year, that the legislative mandate is not in terms of the words "shall be charged to income-tax as the income of the assessee of that previous year", that the unsatisfactorinss of the explanation does not and need not automatically result in deeming the amount credited in the books as income of the assessee. The Tribunal found that the assessee had discharged the initial onus which lay on it in terms of section 68 by proving the identity of the creditors by giving their complete addresses, GIR numbers/permanent account numbers and the copies of assessment orders wherever readily available, that it had also proved the capacity of the creditors by showing that the amounts were received by the assessee....