TaxTMI 
TaxTMI 
TaxTMI 
2024 (10) TMI 532
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.... validly served upon the assessee. During the course of assessment proceedings, the ld. AO observed that the assessee has taken huge unsecured loan from various parties. Assessee furnished necessary details for each of the party with their address, opening balances, loans received/ paid during the year, interest paid and closing balances. The ld. AO issued notices u/s 133(6) of the Act to the parties after examining of the records regarding unsecured loans shown by the assessee at Rs. 7,32,58,026/- and made addition u/s 68 of the Act at Rs. 3,23,00,000/- for alleged unsecured cash credit and also disallowed the interest amount of Rs. 42,19,262/- paid to the parties for which additions u/s 68 of the Act has been made and income assessed at Rs. 3,77,83,570/-. 03. Aggrieved assessee preferred an appeal before the ld. CIT (A) and partly succeeded as ld. CIT (A) deleted the addition of Rs. 1,96,50,000/- and sustained the remaining amount of unexplained unsecured loan at Rs. 1,26,50,000/- along with disallowing the interest paid / payable thereon at Rs. 1,26,50,000/-. 04. Both the parties have filed the appeal. However, assessee succeeded to in the appeal filed before this Tribunal vid....
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.... Sl. No. Name of the party to whom 133(6) is issued Loan received (Rs. ) Interest Amount (Rs. ) Address PAN 1. Aditya Abhani 1,40,001 1A, Ashutosh Mukherjee Road, Kolkata-700020 AKKPA2376F 2. Anjali Jain 20,00,000 1,51,014 P-73, CIT Road, Phool Bagan, Kolkata-700054 ADQPJ8858A 3. Ayush Fintrade Pvt. Ld. 1,67,999 27, Shakespear Sarani, Kolkata-700 017 AACCA9148G 4. Barasia Fiscal Services 2,00,548 27, Brabourne Road, Kolkata-700 001 ADXPB3429Q 5. Bijay Kumar Jain 6,50,000 19,446 4/D, Chetan Seth Street, Diamond Tower, 1st Floor, Kolkata-700 007 ACIPJ7097A 6. CS Sales Pvt. Ltd. 25,00,000 72945 154, Jamunalal Bajaj Street, 1st Floor Kolkata-700007 AABCC79111l 7. Generavity 99,315 1st Floor, 12BB Ganguly Street, Kolkata-700 012 AAECG0655L 8. Giriraj Properties Pvt. Ltd. 3,41,918 7, Ram Kumar Lakhit Lane, Kolkata-700 007 AAACZ5384K 9. Kapuri Devi Jain 96,001 2/D, Goa Bagan Kolkata ACPPJ2148F 10. Khusbu Jain 2,10,000 12/1/1. Byllygunge Road, Kolkata AOJPJ1624G 11. Krishna Sharma 43,154 24, Kalakar Street, Kolkata-700007 12. Payal Emporium Pvt. Ltd. &nb....
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....IT (A) has observed in the impugned order that assessee has furnished the necessary details to explain the nature and source of the alleged sum and has deleted the impugned addition and also deleted the disallowed interest. We observe that the assessee has duly discharged its primary onus casted upon it by furnishing the relevant details to explain the nature and source of unsecured loans and also explained that the interest paid there on are mostly on the loans taken in the preceding years and the remaining loans taken during the year but that all loan transactions are genuine and carried out in the regular course of business. 09. Now, once the assessee discharges its onus, the ld. AO has to record his satisfaction before making any addition. The ld. AO has to conduct necessary enquiry and to find any discrepancy in the details filed by the assessee. When the ld. AO was made available with the PAN no. and the address of the alleged parties, the Ld. AO ought to have carried out the exercise u/s 133(6) of the Act or to contact the concerned AO of the alleged parties. 010. The Hon'ble Apex Court in case of CIT vs. Orissa Corpn. (P.) Ltd. [1986] 159 ITR 78 (SC) dated 19th Mach, ....
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....her persons were taken but since complete details regarding PAN, Bank statement, financial statement and income tax returns details were filed, addition under section 68 of the Act was deleted. Para 9 of this order reads as under:- "9. Apropos Ground Nos. 1 & 2, raised by the revenue against the addition made under section 68 of the Act and disallowance of interest expenditure paid thereon, we notice that the assessee has placed complete details including PAN Nos., bank account statements, financial statements and income tax details of each of the cash creditors. The ld. Assessing Officer has not indicated any discrepancy in any of these details. The ld. CIT(A) has also examined each of the cash creditors in detail including the fact that in some of the cases there are cash creditors who had already advanced funds for the assessee in the preceding year and some fresh loans have been taken. Interest has been paid through banking channels and tax has been deducted at source. The Assessing Officer failed to bring any adverse material against the assessee and the loan borrowed. Most of the unsecured loans have been repaid in the subsequent period. We, thus are of the considered view ....