TaxTMI 
TaxTMI 
2021 (10) TMI 422
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....der Section 68 of the Act on account of unexplained cash credit in the nature of unsecured loan received from three entities, namely, Shaan Leisure Ltd., GSM Infra Projects Ltd. and Manibhadra Tradelink Pvt.Ltd.? (B) Whether the Appellate Tribunal has erred in not appreciating that mere factum of filing return of income does not ipso facto lends credence to the creditworthiness of a party? (C) Whether the Appellate Tribunal has erred in law and on facts in deleting the addition by ignoring that the lenders had filed Return of Income declaring very meagre taxable/operational income which casts aspersions on the capacity of such lenders to advance such huge amounts to the assessee?" 2. The brief facts leading to the prese....
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....), it deleted the addition by making following observations: (i) the depositor was regularly assessed to tax and filing of its return of income. There is no evidence brought by the Assessing Officer on record which could support the contention that the amount received from the depositor was income of the assessee; (ii) that the loans have been granted through banking channels and, in support, copy of the bank statement was provided by the assessee; (iii) in the event of any doubts with regard to the cash deposits in the banks of the depositors, the action can be taken against them, but, no adverse view could be taken at the ends of the assessee. It held that once the assessee discharges the primary onus cast upon ....
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....ment year 2012-13. In Revenue's appeals, the Tribunal examined the grievance of the Revenue of CIT(Appeals) having deleted the addition of Rs. 4,03,34,000/- which was added by the Assessing Officer with the aid of Section 68 of the Act. It was revealed to the Assessing Officer that assessee had taken unsecured loans of the said amount from the following persons: - (1) Mit G. Shah - Rs. 5,75,000/-, (2) Sejal Shah - Rs. 67,30,000/-, (3) Shaan Leisure Ltd. - Rs. 1,07,05,000/-, (4) GSM Infra Projects Ltd. - Rs. 92,60,000/-, (5) Yuva Sports Academy Pvt. Ltd. - Rs. 5,00,000/-, and (6) Manibhadra Tradelink Pvt. Ltd. - Rs. 1,25,64,000/-. The Assessing Officer directed to submit the identity o....
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....ase of CIT vs. Orissa Corporation Pvt. Ltd. reported in 1986 (159) ITR 0078 to hold that once the appellant duly discharges the primary onus cast upon it by making available the details and copies of supporting documents in the form of conformation, copy of bank account and return of income, it is for the Assessing Officer then to make further inquires through issuing summons and notices under Section 133(6) to the depositors for further verification, which in the instant case, has not been done and for which the appellant could not be held responsible. In case of every person and entity, it has gone into these details and accordingly allowed the appeal of the appellant. 4.4. The ITAT on detailed representation of this, concluded thus: -....
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....eference to the ratio of law laid down in all these decisions from pages no. 22 to 27 of the impugned order, and we have gone through the proposition in these decisions and examined as to how the ld. CIT(A) has appreciated the facts of the assessee's case in the light of these propositions. After looking to the well reasoned finding of the ld. CIT(A) coupled with absence of any incriminating evidence in the subsequent assessment orders of the creditors, we are of the view that no interference is called for in the finding of the ld. CIT(A). This ground of Revenue is dismissed." 5. We could notice the concurrent findings of both the authorities on facts which deserve no interference from this Court. The ITAT as a final fact finding body, i....