TaxTMI 
TaxTMI 
2018 (5) TMI 2170
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....e assessee for AY 2011-12. 3. The first issue relates to the addition of Rs.1.00 crore made by the AO u/s 68 of the Act. The Ld A.R submitted that the assessee had received share capital & share premium from a company named M/s Aadya Motor Car Co. P Ltd. The assessee furnished all the details to prove the cash credit. The share subscriber also confirmed the same by duly responding to the notice issued by the AO u/s 133(6) of the Act. The AO noticed that the share subscriber has accounted the same as "deposits" in the books of account and not as "share investment". The AO called for explanations in this regard at the fag end of proceedings and hence the assessee could not give reply. The Ld CIT(A) also confirmed the same. He submitted that ....
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....ITA No.7004/M/2015 & 7087/M/2014 relating to AY 2010-11 and the matter has been restored to the file of the AO, since the assessee claimed that it has deducted TDS. The Ld A.R submitted that the assessee has deducted tax at source in this year also, which facts need verification. 6. The Ld D.R submitted that the amount of Rs.6.57 lakhs cannot be allowed even if TDS was deducted, if the expenditure is hit by Explanation to sec. 37(1) of the Act. We find merit in the submissions of Ld D.R. With regard to the disallowance of Rs.6.57 lakhs is concerned, we notice that the AO did not furnish the details of those expenses and did not also mention as to how those expenses were hit by the Explanation given u/s 37(1) of the Act. We notice that the ....
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.... not sufficient to prove the genuineness of claim. Though the Ld A.R has contended that TDS has been deducted from the above said payment, yet we are of the view that it is the duty of the assessee to explain the nature of services offered by Shri Sardar Singh Kattar Singh towards the payment of Rs.39.00 lakhs and genuineness of expenses. Accordingly, in the interest of natural justice, we restore this issue to the file of the AO for examining this issue afresh and accordingly the order passed by Ld CIT(A) is set aside. The AO may take appropriate decision in accordance with law after examining the evidences that may be furnished by the assessee. 10. The next issue relates to the disallowance of Sundry Balances of Rs.23.87 lakhs written of....
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....aid expenditure was claimed to relate to the FY 2007-08, the AO confirmed the disallowance. 13. The Plea of the Ld A.R is that the expenditure related to Training and Development and the said claim has not been examined by the AO. We find merit in the said argument. Hence this aspect requires examination at the end of AO. The Ld D.R pointed out the observations of Ld CIT(A) that the Training and development expenses relate to FY 2007-08 also and submitted that if it is not related to the year under consideration, the same should be disallowed. There is merit in this contention of Ld D.R also. Accordingly we set aside the order passed by Ld CIT(A) on this issue and restore the same to the file of the AO for examining this issue afresh. 14.....