2022 (4) TMI 1375

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....ent year 2015-16. 2. The only ground raised by the assessee is that Ld. CIT (Appeals) has erred in law and on facts in confirming the addition of Rs. 18,60,820/- made under Section 68 of the Act. 3. Brief facts of the case are that, the assessee had filed return of income on 31.10.2015 showing loss of Rs. 27,95,310/-. Case of the assessee was selected for scrutiny under CASS for a limited category and one of the reasons for scrutiny was un-secured loans from the persons who have not filed the return of income. The Ld. Assessing Officer noted that assessee had shown to have received loans aggregating to Rs. 1,23,70,820/- from Shri Sachin Kumar, who is the Director of the company. Assessing Officer also noted that the assessee has filed....

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..../-. The assessee has tried to explain an entry of prior period with actual transfer of later period. The source which is required to explained for the year under consideration cannot be accepted as explained with source of succeeding year of loan creditor. The assessee reply therefore, is not found satisfactory u/s. 68 of the Income Tax Act, 1961. Therefore, reject the submission off assessee and treat the amount of Rs. 18,60,820/- as deemed income of assessee u/s. 68 of the Income Tax Act, 1961." 4. Before the CIT (Appeals), the appellant had given copy of account of Shri Sachin Kumar, in the books of accounts of the assessee and also the bank details which has been incorporated from page Nos. 3 to 6. It was stated that the cheque was r....

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.... However, the only dispute is that, one amount of loan received on 31st March, 2015 for a sum of Rs. 18,60,820/-, which has been shown in the balance sheet (sic) at 1st March, 2015 and in the books of accounts, has not been credited in the bank account of the assessee as same was transferred only on 27th June, 2015. It is very surprising that the Assessing Officer has made the addition under Section 68 of the Act only on the ground that sum of Rs. 18,60,820/- has come in the account of the assessee in the next financial year and, therefore, this loan has been treated as non-genuine in this year which has been taxed under the deeming provisions of Section 68 of the Act. If the amount is credited in the bank account of the assessee in this ye....