TaxTMI 
TaxTMI 
2017 (2) TMI 1419
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....erefore, the same is dismissed as not pressed. 3. Vide ground no. 2, the assessee has questioned the validity of the assessment made u/s. 147 r.w.s 143(3) r.w.s. 254 of the Act. This is the second round of litigation, a perusal of the record show that in the first round of litigation, the quantum additions made u/s. 68 of the Act travelled up to the Tribunal. The Tribunal in ITA No. 4361/Ahd/2003 vide order dated 01.02.2010 observed as under:- 3. The ld. counsel for the assessee, first of all, started argument on the reopening. The ld. CIT-DR made preliminary objection to this issue and stated that this was not raised before CIT(A) and even now before the Tribunal also the ground No. 1 is regarding the confirmation of the action of the....
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....hat none of the authorities below have decided the issues on merits and also made addition without providing reasonable opportunity of being heard. Keeping in view the principles of natural justice in mind, we set aside the two issues on merits to the case of the CIT(A). Accordingly, the CIT(A) after taking a remand report from the Assessing Officer will decide after providing reasonable opportunity of being heard to the assessee. 4. A perusal of the aforementioned observation and the findings of the Coordinate Bench show that the assessee has conceded more than ones so far as the issue relating to the reopening of the assessment is concerned. We also find that the Co-ordinate Bench has set aside the assessment to the files of the A.O. be....
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.... as loans given, merely represent accommodation transaction and are not actual loans taken or given. It was strongly contended that the assessee was only receiving commission for providing for such accommodation entries. 10. The modus operandi of the assessee and his detailed submission did not find any favour with the A.O. who was of the firm belief that the onus is upon the assessee to explain the credit entries in his books of accounts and since, the assessee has grossly failed in discharging the onus cast upon him by the provisions of section 68 of the Act, the impugned credit entry of Rs. 2.68 crores was treated as deemed income of the assessee and was added by the A.O. 11. Assessee unsuccessfully litigated the matter before the Fi....
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....ob in China. This explains why the assessee could not furnish the requisite details for the assessment year under consideration. We also find that this was specifically explained by the assessee in his reply dated 21st November 2011 exhibited at pages 25 to 27 of the paper book. We also find that vide letter dated 12th October 2011 exhibited at pages 21 and 22 of the paper book. The assessee had requested the A.O. to make enquiries u/s. 131 or u/s. 133(6) of the Act so as to obtain relevant bank statements. The information given in the remand proceedings read as under:- Annexure 1 It is submitted that during the financial year 1994-95, the assessee was in need of funds. Hence, under the guidance from the friends, the assessee decided to....
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....e corresponding loan taken are non-genuine transaction and that the assessee has never taken any such loan or given any loan to these parties and that the transactions are only in the nature of accommodation transaction. By engaging in such transaction, the beneficiaries tend to convert their unaccounted money into accounted money and hence can utilize the same. It is submitted that the real owners and beneficiaries of the said amount are those parties who have been issued the cheques and hence the assessee should not be subjected to tax on the amounts or income which does not belong to him. It is submitted that the tax should be levied on the persons who have actually earned the said amounts and to whom the said cash belong. The details....
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.....O. should have made enquiries in depth to trace out the real beneficiaries of the accommodation entries provided by the assessee. 17. As mentioned elsewhere, the assessee is a man of small means, therefore, cannot be said to have earned such exorbitant unaccounted income. More so, the assessee is employed in China and his only source of income is the salary received by him in China. 18. It is a settled proposition of law that Income Tax proceedings are civil proceedings and the degree of proof is by preponderance of probabilities. Considering the facts in totality in their true perspective, in our considered view, the balance of convenience, in the light of the preponderance of probabilities, is in favour of the assessee. 19. In our ....