TaxTMI 
TaxTMI 
2023 (1) TMI 408
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.... Grounds of appeal raised by the revenue read as under: "1. That on the facts and circumstances of the case, Ld. CIT(A)-4, Kolkata erred in deleting the addition made the AO amounting to Rs.2,40,65,000/- u/s. 68 of the Income Tax Act, 1961 without considering creditworthiness of the transactions. 2. Whether in the facts & circumstances of the case and law, the Ld. CIT(A)-4, Kolkata erred in allowing relief to the assessee by accepting additional evidence during appeal, without calling for a remand report from the A0 and without providing him an opportunity under Rule 46A." 3. Brief facts of the case are that assessee filed its return of income on 08.01.2013 reporting total income at Rs.1,150/-. The case was selected for scrutiny asse....
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.... hotel in the name of 'Check-in Check-out' where from he deposited money in the various allottee companies. In the course of assessment, Ld. AO by raising the objections in respect of transaction being locked genuine, no justification for use premium, allottee companies having hardly any business and non-establishment of creditworthiness of the 12 allottee companies treated the amount of share capital including share premium as unexplained within the meaning of section 68 of the Act and added to the total income of the assessee. Aggrieved assessee went in appeal before the Ld. CIT(A). 5. In the course of first appellate proceedings, Ld. CIT(A) noted that Shri Sudhir Satnaliwala runs a hotel through his proprietorship concern known as 'Chec....
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....ge 8. Ld. CIT(A) also took note of the fact that other major source of funds that came to the assessee was Rose Financiers & Commercials Pvt. Ltd. which has also been assessed under section 143(3) of the Act for AY 2012-13. After being satisfied about the identity, creditworthiness and genuineness of the transaction of allotment of shares to the 12 allottee companies, Ld. CIT(A) allowed the appeal of the assessee. Aggrieved, revenue is in appeal before the Tribunal. 6. Before us, Shri AkkalDudhewala, FCA represented the assessee and Shri Vijay Kumar, Addln. CIT DR represented the Department. Ld. Counsel for the assessee has placed on record a paper book containing 216 pages in respect of support of his claim in the instant appeal. 7. Ld. ....
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....the Ld. AO in response to summon issued under section 131 of the Act and complied with all the required details and documentation. We also take note of the fact that assessment of Shri Sudhir Satnaliwala for AY 2012-13 has been completed without any adverse observation and addition, u/s 143(3) of the Act. Financial statements of Shri Sudhir Satnaliwala were on record which has been accepted in his assessment wherein transaction relating to taking of secured loans from HDFC Bank and Aditya Birla Finance Ltd and giving of security deposits to the 12 allottee companies for securing the lease arrangement in respect of 12 dwelling units from the 12 allottee companies, has been duly reported. We also note that in the paper book all the documents ....