TaxTMI 
TaxTMI 
2023 (9) TMI 538
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....e Ld. CIT(A) as made by the AO on account of share capital/ share premium being unexplained u/s 68 of the Act. 3. Facts in brief are that the assessee filed return of income on 21.01.2014 declaring a total income of Rs. 3,235/-. The case of the assessee was selected for scrutiny and statutory notices were duly issued and served on the assessee. During the course of assessment proceedings, the AO observed on the basis of details furnished by the assessee that the assessee has issued equity shares during the year thereby raising share capital/share premium to the tune of Rs. 2,24,28,434/-. The AO also issued notices u/s 133(6) of the Act to various share subscribers which were duly responded by the share subscribers by filing necessary docum....
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....firming the investments having been made in the assessee company. The ld AR has argued that the AO has not pointed out any defects or deficiency in the documents furnished by the assessee or by the subscribers. The ld AR contended that the Ld. CIT(A) has also upheld the addition on the ground that summons u/s 131 were not complied with. .The ld AR argued that the addition made, without carrying out any investigation into the issue on the basis of the information/details filed by the assessee, merely for the reason that the summons were not complied with by the subscribers is unsustainable. In defense of his arguments the ld AR relied on series of decisions namely CIT Vs. Orissa Corporation Pvt. Ltd. 159 ITR 78(SC) , Crystal Networks Pvt. Lt....
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....ments as called for by the AO. The assessee furnished the copy of names and addresses of the subscribers, besides its bank statement, return of allotment etc. the subscribers also furnished replies to response to notices u/s 133(6) of the Act filing the following documents: a) Income Tax Return of the share holders b) Certificate of incorporation of the share holders c) Audited Accounts of the share holders d) Share Application Forms e) Share Allotment Letters f) Copy of Memorandum & Articles of Association g) Copy of Board Resolution h) Copy of Bank Statement i) Transaction with the appellant was duly highlighted in the bank statement j) Copy of assessment orders of the share holders k) Evidences of source of source o....
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....do anything further. In the premises, if the Tribunal came to the conclusion that the respondent had discharged the burden that lay on it, then it could not be said that such a conclusion was unreasonable or perverse or based on no evidence. I f the conclusion was based on some evidence on which a conclusion could be arrived at, no question of law as such arose. The High Court was right in refusing to state a case." The case of the assessee is also squarely covered by the decisions of Hon'ble Calcutta High Court in the case of Crystal Networks Pvt. Ltd. vs. CIT (supra) wherein it has held that where all the evidences were filed by the assessee proving the identity and creditworthiness of the loan transactions , the fact that summon issued....
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....nal to decide in this situation. In the said judgment noted by us at page 463, the Supreme Court has observed as follows: "The Income-Tax Appellate Tribunals performs a judicial function under the Indian Income-tax Act. It is invested with authority to determine finally all questions of fact. The Tribunal must, in deciding an appeal, consider with due care all the material facts and records its findings on all the contentions raised by the assessee and the Commissioner, in the light of the evidence and the relevant law." The Tribunal must, in deciding an appeal, consider with due care all the material facts and record its findings on all contentions raised by the assessee and the Commissioner, in the light of the evidence and the rele....
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....aving PAN, on the ground that the identity of the investor is not proved cannot be sustained. Attention was also to the similar ruling of the ITAT Kolkata bench in the case of ITO vs. Devinder Singh Shant in ITA No. 208/Kol/2009 vide order dated 17.04.2009. 9. We have considered the rival submissions. We are of the view that order of Ld. CIT(A) does not call for any interference. It may be seen from the grounds of appeal raised by the revenue that the revenue disputed only the proof of identity of share holder. In this regard it is seen that for AY 2004-05 Shree Shyam Trexim Pvt. Ltd. was assessed by ITO, Ward-9(4), Kolkata and the order of assessment u/s 143(3) dated 25.01.2006 is placed in the paper book. Similarly Navalco Commodities ....