TaxTMI 
TaxTMI 
2019 (6) TMI 912
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....n the grounds inter alia that :- "1. The order of the Ld. Commissioner of Income Tax (Appeals), New Delhi, dated 12.06.2015 is bad in law and in facts. 2. That on facts and in law, the Ld. CIT(A) has erred in not holding the assessment made under section 153A read with section 143(3) of the Act is bad in law and void ab initio. 2.1 That on facts and in law, and on a true and correct interpretation of section 153A of the Act, where admittedly there was no incriminating material found during the course of search u/s 132(1) of the Act, conducted on 14.03.2012, assessment order passed under section 153A/143(3) of the Act is bad in law and void ab initio. 3. That on the facts and in the circumstances of the ca....
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....ican Express Gold Cards and has incurred huge amount during financial years 2005-06 to 2011-12 in the name of business of M/s. Jay Polychem India Limited. The payments for credit card bills were made by M/s. Jay Polychem India Limited. Declining the contentions raised by the assessee, AO proceeded to conclude that credit card expenses incurred by the assessee are maintaining for personal lifestyles and were not incurred wholly and exclusively for the purpose of business and no evidence has been produced by M/s. Jay Polychem India Limited to prove as to how these expenses were incurred for the purpose of business of the company and thereby made addition of Rs. 10,27,552/- being the total credit cards expenses on account of disallowance of bu....
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....asis of search conducted on 14.03.2012 at the premises of M/s. Jay Polychem India Limited, assessment was passed under section 153A in AYs 2007-08 to 2010-11. 8. However, Ld. DR for the Revenue, on the other hand, to repel the arguments addressed by the ld. AR for the assessee, relied on the orders of the AO/CIT (A). 9. During the recording of statement of Shri Sandeep Singh Madhok recorded under section 131 of the Act on 27.06.2012, he was confronted with seized material/documents, Annexures A-5, A-6, A-7, A-8 and AA-1 and was asked to explain as to how the expenses were incurred and recorded in these annexures are business expenses of the assessee company i.e. M/s. Jay Polychem India Limited. AO extracted the portion of his statemen....
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....lly clear from the narration of the credit card statements itself. Q.23 From the narration of the credit card statement it appears that most of the expenses are of personal nature and they are not related with business of the company. Ans. No sir these are incurred for the business expediency. Q.24 Please justify the payments incurred through credit card hold by you and Satinder Singh Madhok as the narration of expenses in the credit card statement indicates that most of the expenses are of personal in nature and not related to business purpose of the company. Ans. The expenses are incurred for business expediency and fully accounted for. 10. Now, the question arises for determination in this case is :....