TaxTMI 
TaxTMI 
2021 (11) TMI 214
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....acturing gas turbine auxiliaries, filed its return of income for the AY 2013-14 admitting total income of Rs. 1,32,50,090/- under normal provisions and Rs. 1,24,80,000/- under Book profit u/s 115JB of the I.T. Act. The case was selected for scrutiny and accordingly the Assessing Officer issued statutory notices. In response to the notices, the appellant company filed the part information. Therefore, the Assessing Officer issued summons u/s 131. In response to the summons, the AR of the appellant appeared and filed the information. But to further notices, there was no response from the appellant company. Therefore, the Assessing Officer based on the information available on record and after going through the information filed, completed the assessment by making additions of Rs. 3,65,55,496/ -towards disallowance u/s 68, Rs. 65,000/- towards disallowance u/s 14A and assessed the total income at Rs. 4,98,70,586/-. 3. When the assessee preferred an appeal before the CIT(A), the CIT(A) allowed the appeal of the assessee. 4. Aggrieved by the order of CIT(A), the revenue is in appeal before us. 5. As regards ground Nos. (i) to (iii) relating to disallowance u/s 14A of the Act, th....
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.... to the extent of Rs. 3 crores during F.Y. 2012-13. Further, the Share application money pending allotment was shown at Rs. 5,05,61,141/- as on 31-03-2013 as against Rs. 5,50,05,645/- as on 3103-2012. In this regard, the assessee furnished evidence in respect of increase in share capital of Rs. 3 crores from Sri PVK Reddy and Sri PRK Reddy and also furnished the list of investor with regard to share application money pending allotment as on 31-03-2013. 6.1 The assessee also filed confirmation letters from the investors with regards to their investment in the above company. The AR of the assessee was asked to furnish necessary and supporting evidence in respect of the share application money received from the above persons i.e., Balance sheet along with relevant Schedule and Ledger account of the investor companies reflecting their investments and sources along with relevant bank account statement in respect of individual investors and the assessee furnished the details in respect of share application money and sought time for furnishing of evidence sought for but has not furnished any evidence on the said date as well as till date. As the assessee failed to provide or furnish an....
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....) in his order at pages 10 to 12. After considering the submissions of the assessee, deleted the addition made by the AO by observing as under: "7.3 1 have carefully considered the assessment order and submissions of the appellant. The appellant during the course of appeal proceedings, furnished the details with regard to PAN, details of creditors, which were already furnished before the Assessing officer during the course of assessment proceedings, were verified. It was observed from the assessment order that, the Assessing Officer himself accepted repayment of the amounts to the concern creditors during the F.Y. 2011-12, but the balance amounts were added during the F.Y. 2012-13 which is not logical. Since the appellant has proved the genuineness and the creditors were on the day to day business and were already existing in the earlier years, hence, the addition made by the Assessing Officer deleted and the grounds of appeal were allowed." 8. Before us, the ld. DR besides relying on the order of AO submitted that the assessee has failed to furnish necessary and sufficient evidence to establish the genuineness of the credits received in the form of share application mo....
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.... application money during the year, for which the assessee has filed confirmation letters from the parties, out of which there was dispute regarding of Rs. 3,65,55,496/- only. In the opinion of the A.O. the assessee did not discharge the liability as provided u/s 68 of the Income Tax Act.1961. The AO made the addition in respect of the share application money received from the following parties: i) Lepakshi Ayush Park Pvt. Ltd. - Rs. 52,95,534 ii) Nandian PVK Energy Pvt. Ltd. - Rs. 2,01,59,962 iv) Sri V. Krishna Mohan Rao - Rs. 11,50,000 v) Sri V. Sarath Babu - Rs. 15,00,000 vi) Sri VSRD Choudary - Rs. 15,00,000 vii) Sri Madan Reddy - Rs. 9,50,000 viii) Yashoda Energy Pvt. Ltd. - Rs. 60,00,000 Total -Rs. 3,65,55,496 In respect of the parties at Sl.No. i) & ii), there is a debit and credit amounts as appearing in the above table, out of which, the AO has accepted the payments made to them. Had it been the doubt in the receipt of the monies, the entire receipt could have been added, whereas, the AO has added only the closing balance, which is not proper. Therefore, the assessee gets relief in resp....