2021 (4) TMI 399

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....come Tax Act, 1961. 2. That the proviso of 2(22)(e) securely applies where the conditions are satisfied in this respect. It cannot be added only to assumption of Reserve & Surplus. 3. That an advance of Rs. 2,00,000/- is not but not to be treated as income in mischievous manner." Additional grounds 1. That the learned A.O. was not justified in taking the "Reserve & Surplus" as Rs. 9,64,48,707/-, the accumulated profit is to be taken as on the first day of the financial year i.e. 01/04/2010 or the maximum accumulated as on the day of the advance/transaction held. 2. That the learned A.O. has erred in taking Rs. 2,00,000/- as advance and further he was not justified in treating it as dividend in the hands of the appellant. 3. ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... received Rs. 2 lacs on 27/1/2011 as refund of loss outstanding as on 1/4/2010 as Rs. 8,23,000/-. The balance of Rs. 2 lacs is on access payment by mistake from Kohli Estates Pvt. Ltd. and the same is recovered on 31/10/2011 by recovering Rs. 5 lac from the assessee. Hence, access amount received by the assessee is by mistake and same is recovered from the assessee. The Assessing Officer after considering the reply of the assessee made addition of Rs. 2 lacs u/s 2(22)(e) and assessed the total income at Rs. 20,74,527/-. 4. Being aggrieved by the assessment order, the assessee filed appeal before the CIT(A). The CIT(A) dismissed the appeal of the assessee. 5. The Ld. AR submitted through the written submissions as under:- "Assessee is a ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....LI ESTATES PVT LTD. as a Financial help during F.Y. 2011-2012. Hence, There is no benefit to the assessee by receiving excess payment of Rs. 2,00,000/- which was refunded to KOHLI ESTATES (P) LTD. in subsequent year." 6. The Ld. DR relied upon the assessment order and the order of the CIT(A). 7. We have heard both the parties and perused the material available on record. From the perusal of the documents it can be seen that the assessee has received Rs. 2 lacs on 27/1/201 as refund of loan outstanding as on 1/4/2010 at Rs. 8,23,000/-. Balance of Rs. 2 lacs is an excess payment by mistake from Kohli State Pvt. Ltd. as per the submissions of the assessee before the Assessing Officer as well as before the CIT(A). The contention of the Ld. A....