TaxTMI 
TaxTMI 
2019 (2) TMI 2095
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.... account of depreciation. 3. The facts of the case, in brief, are that the assessee is a partnership firm engaged in the business of stone aggregation and other contract work/job work. It filed its return of income on 26th September, 2011 declaring total income of Rs.39,28,880/-. The Assessing Officer, during the course of assessment proceedings, observed that the assessee has claimed depreciation at Rs.2,75,48,797/-. From the various details filed by the assessee, he observed that the assessee has claimed depreciation @ 30% on machinery claimed as commercial vehicle. The Assessing Officer noticed the various vehicles on which the depreciation at higher rate of 30% has been claimed and observed that the assessee is not doing business of ....
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....der of CIT(A), the assessee is in appeal before the Tribunal. 5. We have considered the rival arguments made by both the sides. 6. On a pointed query raised by the Bench at the time of hearing as to what has happened in the preceding year, the ld. counsel for the assessee submitted that the ld.CIT(A) has passed an ex parte order for which the appeal is pending before the Tribunal against such ex parte order. However, it is the submission of the ld. counsel for the assessee that the various decisions relied on by the assessee at the time of hearing before the Assessing Officer were not considered by the Assessing Officer. It is his submission that the decision of the Jodhpur Bench of the Tribunal in the case of ACIT vs. M/s Sayeed Iqba....
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.... the assessee in the grounds of appeal is regarding the addition of Rs.41 lakhs made by the Assessing Officer u/s 68 of the IT Act which has been upheld by the CIT(A). 9. The facts of the case, in brief, are that the Assessing Officer, during the course of assessment proceedings observed that the assessee has raised unsecured loans amounting to Rs.58,20,000/- from the following persons/concerns:- (i) M/s Astha Minerals, Prop. Shri P.K. Wadhwa (ii) Shri A.K. Garg (iii) Smt. Krishna Wati (iv) Shri P.K. Wadhwa (v) M/s Ram Babu Delhi Stone Suppliers, Prop. Shri P.K. Wadhwa (vi) Shri V.K. Pathak 10. From the various details furnished by the assessee, the Assessing Officer noted that the....
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....er papers in the absence of cash flow statement do not establish the fact of the assessee's case. He accordingly upheld the action of the Assessing Officer. 11.1 Aggrieved with such order of the CIT(A), the assessee is in appeal before the Tribunal. 12. The ld. counsel for the assessee, at the outset, filed the following cash flow statement and submitted that Shri P.K. Wadhwa has sufficient means to extend the loan of Rs.41 lakhs to the partnership firm:- PRAVEEN KUMAR WADHWA Cash Flow Statement for FY 2010-11 (Corresponding period 01.04.2010 to 31.03.2011) AMOUNT TOTAL Opening Balances : Cash in Hand 3,01,240.00 Cash at Bank 2,55.065.68 5,56,305.68 Add: Inflo....
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....rowellers 291 ITR 232; iii)Hon'ble Supreme Court in Lovely Exports; and iv) Allahabad High Court in 141 ITR 706. 14. He accordingly submitted that addition, if any, can be made in the hands of the partner and not in the hands of the partnership firm. However, since the partner has sufficient means to extent the cash loan, therefore, no addition could have been made and, therefore, the order of the CIT(A) be set aside. 15. The ld. DR, on the other hand, heavily relied on the order of the CIT(A). He submitted that there is no justification or business exigency for giving such huge cash loan to the firm by one of the partners. The assessee has not properly explained the source of such loan and the exigency of such l....