2025 (6) TMI 133

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....ained cash credit u/s 68 of the Act. 03. The facts in brief are that the assessee filed the return of income on 30.10.2017, declaring total income of Rs. 85,20,810/-, which was selected for scrutiny under Computer Assisted Scrutiny Selection (CASS). Accordingly, notices u/s 143(2) and 142(1) along with questionnaire were issued. On the basis of the details/evidences furnished by the assessee, the AO observed that assessee has raised funds from five companies during the impugned assessment year in the form of unsecured loans. Accordingly, the information/ details were called for, which were duly filed by the assessee. The ld. AO in order to independently verify the transactions also issued notice u/s 133(6) of the Act to the said entities, ....

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....on the various other decisions as discussed in the appellate order. The ld. AR vehemently submitted before us that the assessee has fully furnished all the details/ evidences as called for by the ld. AO which are given from page no.2 to 172 of the paper book. The ld. AR submitted that the said details/evidences comprised of names, addresses, ITRs, audited profit and loss accounts, balance sheets, loan confirmations, municipal tax receipts, replies to notice u/s 133(6) of the Act along with ledger accounts were furnished and even in one case the assessment order framed u/s 143(3) of the Act was also placed before the ld. Assessing Officer. The ld. AR submitted that the ld. AO had relied on the investigation Wing report that these loans credi....

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....y on the order of the ld. CIT (A) by submitting that the ld. AO acted on the basis of a concrete investigation report in which the loan creditors were mentioned as hawala accommodation entry providers from whom the assessee had taken unsecured loans and therefore, the addition was righty made. Similarly, the ld. CIT (A) upheld the order by relying on various decisions as stated in the appellate order. 06. After hearing the rival contentions and perusing the materials available on record, we find that the assessee has raised unsecured loans from five parties which are mentioned by the AO in the assessment order from whom aggregate amount of Rs. 3,49,00,000/- was raised during the impugned financial year. We also note that the assessee has t....

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.... The Hon'ble High Court has also noted that the assessee in that case had filed all the evidences before the ld. AO qua the loan creditors and even the notice issued u/s 133(6) of the Act were duly responded. Similarly, in the case of CIT vs. Dataware (supra), the Hon'ble jurisdictional High Court has held as under:- "After hearing the learned Advocate for the appellant and after going through the materials on record, we are of the view that no substantial question of law is involved in this appeal. Both the Commissioner of Income Tax (Appeal) and the Tribunal below have in details considered the fact that the share application money was paid by account payee cheque, the creditor appeared before the Assessing Officer, disclosed it....