TaxTMI 
TaxTMI 
2022 (12) TMI 1304
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.... appeal:- "i. The Ld. CIT(A)has erred in law and facts in allowing the appeal of assessee and ignoring the fact that peak credit is not applicable in this case being ones amount exhausted it cannot raise the effect on bank deposits at a later stage. ii. The Ld. CIT (A) has erred on facts in allowing the appeal of assessee and where assessee himself failed to explain the source of deposits holding that amount routed through bank account and registries existed in the name of M/s Vardhman Industrial Estate and its concern, proves the genuineness of transactions. iii. The order of the Ld. CIT(A) be set aside and order of the AO be restored. " 3. Brief facts of the case are that the assesssee filed his return of inc....
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....tted various evidences to prove that the cash deposits made into bank account were from out of withdrawals made earlier from the bank and also produced various documents in respect of the addition of Rs.76,50,000/- which was given by M/s. Vardhman Industrial Estate to the assessee for the purchase of purchase of land on behalf of M/s. Vardhman Industrial Estate. The assessee furnished before the ld. CIT (Appeals) cash flow statement along with copies of bank statement, sale deed and other documents as these documents were not produced before the AO during the assessment proceedings. The ld. CIT (Appeals) forwarded all thewse documents to the Assessing Officer for his comments. The Assessing Officer sent a remand report dated 19.03.2018, cop....
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.... namely M/s Jain Realcom Pvt Ltd and M/s Texplas India Pvt Ltd. The appellant claims that it passed on this money to the land holders and get the land registered in the name of M/s Vardhman Industrial Estate and some small portion in the name of sister concerns of M/s Vardhman Industrial Estate. 21. The AO during the course of assessment proceedings found that the assessee has receive Rs. 87 lacs by cheque in two tranches one of Rs. 76,50,000/- and another Rs. 10,50,000/-. Apart from that the AO also noted that the assessee received cash deposit of Rs. 1,04,99,400/- in respect of which amount received by cheque. The AO has stated that the assessee was unable to provide any evidence of actually having received this amount from M/s V....
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....ived this amount from M/s Vardhman Industrial Estate and a smaller part from its sister concern. The weight of evidence lies in favour of the conclusion that the appellant was acting as a commission agent on behalf of M/s Vardhman Industrial Estate for development of industrial estate. Apparently it actually conducted negotiation with the farmers on behalf of this entity and assisted in registration of land in favour of M/s Vardhman Industrial Estate and its sister concern for payment of service fee. The evidences that lies in favour of the assessee are :- i) Confirmation from Vardhman Industrial Estate and its sister concern that they have paid the assessee the monies. ii) That the amounts are routed through banking chann....
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....credit of this account. " 7. As could be observed from the above in so far as the additions of Rs.76,50,000/- and Rs.10,50,000/- are concerned, the ld. CIT (Appeals) deleted these additions based on the evidences furnished by the assessee in the form of confirmation from M/s. Vardhman Industrial Estate and its sister concern that they have paid the assessee these moneys. These moneys are routed through banking channels and they are verifiable. The finding of the ld. CIT (Appeals) that the documents show that lands were registered in the name of M/s. Vardhman Industrial Estate where the assessee acted only as an agent in facilitating the purchase of land from farmers on behalf of M/s. Vardhman Industrial Estate. It is observed that the ld....