TaxTMI 
TaxTMI 
2025 (6) TMI 716
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.... total income of Rs. 3,54,680/-. Subsequently, the Assessing Officer had received an information from DDIT (Inv.) Unit-1(3), Ahmedabad that the assessee was one of the beneficiaries of accommodation entry taken through share trading activities. Therefore, the Assessing Officer had reopened the case under Section 147 of the Income Tax Act, 1961 (hereinafter referred to as 'the Act') after recording proper reasons. The assessment was completed under Section 143(3) read with Section 147 of the Act on 30.12.2019 at total income of Rs. 1,34,50,680/-. 3. Aggrieved with the order of the Assessing Officer, the assessee had filed an appeal before the First Appellate Authority which was decided vide the impugned order and the appeal of the assessee ....
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....her a member/director/employee nor he was associated with the com Arihant Enterprise Ltd. in any manner whatsoever during the year under consideration. 7. On the facts and circumstances of the case as well as law on the subject, the learned CIT(A) has erred in confirming addition of Rs. 1,30,96,000/- without considering that all the transactions were done through account payee cheques and assessee has famished several documentary evidences including bank statements, confirmations, audit reports, financial statements and details of evidences regarding change in the Management of Arihant Enterprise Limited. 8. On the facts and circumstances of the case as well as law on the subject, the learned CIT(A) has erred in confirming addition of R....
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....AEL was maintaining a bank account with Tamil Nadu Mercantile Bank, in which there was total credit of Rs. 37,11,000/- and total debit of Rs. 93,85,000/- from Arihant Enterprise (Proprietor Smt. Ami Dhirenbhai Shah). The Assessing Officer had treated the entire transaction of Rs. 1,30,96,000/- (Rs.93,85,000/- + 37,11,000/-) as accommodation entry and made addition as unexplained income of the assessee. 7. Shri Hardik Vora, Ld. AR of the assessee submitted that at the relevant point of time, AEL was a group company and the family members of the assessee were the Directors of the company till the financial year 2014-15. Shri Dhiren C. Shah, the husband of the assessee, was also one of the Directors of AEL. Subsequently, the Directors had cha....
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....ation entry was made in the assessee's own case in A.Y. 2013-14 as well as in the case of Sh. Dhiren C. Shah, the husband of the assessee, the addition as made by the Assessing Officer in the current year requires to be deleted. 8. Per contra, Shri Amit Pratap Singh, Ld. Sr. DR relied upon the orders of the lower authorities. 9. We have carefully considered the facts of the case and the submission of the assessee. In the reasons as recorded by the Assessing Officer, it is mentioned that Shri Jignesh Shah had filed an affidavit on 18.10.2018 that he was providing accommodation entries through AEL. The Assessing Officer was not correct in reopening the case of the assessee for the A.Y. 2012-13 without verifying as to since when Shri Jignesh....
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....horized signatory. The assessee has submitted various documents including copy form No. DIR 11 and DIR 12 submitted before the ROC so as to prove his resignation from the company. The assessee further submitted that transaction made by the assessee with Arihant Enterprise Ltd. were genuine as it was owned, controlled and managed by the assessee only. This entity Arihant Enterprise Ltd. was later managed by outsider party. The assessee has submitted that during the year under reference, the company was not managed by Shri Rajiv Shah, therefore, the transactions were genuine. Considering the submission of the assessee, documents made available and discussion with AR, it is held that during the year under consideration the assessee was operati....