TaxTMI 
TaxTMI 
2025 (4) TMI 155
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....-06 and 2006-07. 2. Since both the appeals pertain to the same assessee involving additions arising out of the similar factual matrix, therefore, these appeals were heard together as a matter of convenience and are being decided by way of this consolidated order. 3. In his appeal for the assessment year 2005-06, the assessee has raised the following grounds: - "1. The Ld. CIT (A) -25 has erred in confirming the addition of the loan amount of Rs. 75,00,000/- u/s. 69A as unexplained loan without considering the submission of the appellant dated 22-12-2011 and other various submissions. 2. The Ld. CIT (A) -25 has erred in confirming the addition of notional interest of Rs. 1,00,000/- on the loan of Rs. 75,00,000/-." ....
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....n response to one more opportunity being granted to the assessee to show cause why the loan advanced be not treated as unexplained money under section 69A of the Act, the assessee vide its letter dated 22/12/2011 retracted from the statement made pursuant to the summons issued under section 131 of the Act on the basis that he was under a lot of confusion and was mentally disturbed at the time of recording the statement under section 131 of the Act. The Assessing Officer ("AO"), vide order dated 23/12/2011 passed under section 143(3) read with section 147 of the Act, disagreed with the submissions of the assessee and held that the assessee has advanced loans to Shri Bhanuprasad D. Trivedi (HUF) and same has been admitted by the assessee in h....
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....arned Departmental Representative vehemently relied upon the orders passed by the lower authorities. 9. We have considered the submissions of both sides and perused the material available on record. In the present case, on the basis of the information received from the office of DCIT, Central Circle-1 (3), Ahmedabad that the assessee has advanced loan amounting to INR 75 Lacs to Shri Bhanuprasad D. Trivedi (HUF), and the same has not been reflected by the assessee in his balance sheet, proceedings under section 147 of the Act were initiated. The AO, vide assessment order, treated the entire loan amounting to INR 75 lakh as unexplained sum of the assessee under section 69A of the Act by placing reliance on the loan confirmation submitted ....
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....essee. Vide its another response dated 15/03/2012, the AO reiterated its finding made in the assessment order that the confirmation letter regarding the loan by the assessee to Shri Bhanuprasad D. Trivedi (HUF) was duly shown to the assessee while recording his statement under section 131 of the Act. We find that vide another letter dated 22/10/2012 before the Central Public Information Officer, DDIT, Ahmedabad, the assessee again sought a copy of the loan confirmation by the assessee. The assessee also sought a copy of the bank statement of Shri Bhanuprasad D. Trivedi (HUF), wherein the amount of the loan was advanced by the assessee. However, instead of furnishing the information as sought by the assessee, the DCIT, Central Circle-1 (3), ....