TaxTMI 
TaxTMI 
2021 (7) TMI 507
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....wrong and bad in law. 2. That the Ld. CIT (A) and Ld. AO erred both on facts and circumstances of the case and in law in making addition of Rs. 3,05,400/- under section 68 by treating loan taken by company as unexplained cash credit. The additions has been made on surmises and conjectures rejecting documentary evidences and explanations filed before Ld. AO and Ld. CIT(A). Thus the additions made by AO are erroneous and bad in law. 3. That on the facts and circumstances of the case and in law, the Ld. CIT(A) erred in confirming the action of the Ld. Assessing Officer ("Ld. AO") of passing order u/s. 147 Income Tax Act, 1961 ('the Act'). The said order passed by the Ld. AO is void ab-initio on, inter alia, the ground....
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.... assessee, in response to the same, filed the return of income on 10th August, 2018 declaring loss of Rs. 3,91,500/- which was returned earlier. The assessee asked for the reasons which were duly provided to the assessee. 4. During the course of assessment proceedings, the AO asked the assessee to explain the accommodation entry of Rs. 3 lakh from the said concerns. Rejecting the various explanations given by the assessee and observing that the assessee has obtained accommodation entry of Rs. 3 lakh from a non-genuine firm/concern, he made addition of Rs. 3 lakh to the total income of the assessee. Similarly, the AO also made addition of Rs. 5,400/- to the total income of the assessee being the alleged commission @ 1.8% of such accommoda....
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....ing any effort to correlate the same with the return of income filed by the assessee which was already filed on 30th September, 2011. Therefore, the reasons recorded without independent application of mind by the AO to the information received from the Investigation Wing shows that the same are without proper satisfaction on the part of the AO. The reasons recorded has to indicate in what manner the satisfaction was recorded with regard to escapement of income as there were no specific details of alleged accommodation entries of Rs. 3 lakhs. He submitted that the reasons recorded by the AO are undated and there is no evidence that the same were recorded before the issuance of notice u/s. 148 of the Act. Relying on various decisions, he subm....
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...., heavily relied on the order of the CIT(A). So far as the validity of the re-assessment proceeding is concerned, the ld. DR, relying on various decisions submitted that the ld. CIT(A) while discussing the validity of the reassessment proceedings has passed a reasoned order. Therefore, the same should be upheld. So far as the merit of the case is concerned, he submitted that it was clearly proved by the Investigation Wing that Shri Anirudh Joshi had used seven non-genuine concerns for providing accommodation entries which were controlled and managed by him. One of such non-genuine concern was KRAC Securities Pvt. Ltd. which has given accommodation entry of Rs. 3 lakh to the assessee on 14th February, 2011. Therefore, the ld. CIT(A) was full....