TaxTMI 
TaxTMI 
2025 (6) TMI 1134
X X X X Extracts X X X X
X X X X Extracts X X X X
....n 250 on dated 22/02/2024 The delay in filing the appeal is neither intentional nor deliberate but due to reasons beyond the control of the appellant. 2 I am an illiterate individual engaged in the business of wholesale and retail trading of Petrol and Diesel and has minimal knowledge of taxation laws and procedures. Due to My Lack of Knowledge & awareness, I am entirely dependent on My tax consultant for compliance with tax matters, including the filing of the appeal. 3. Unfortunately, the earlier consultant engaged by me has failed to inform or update me regarding the adverse assessment order and the necessity to file an appeal within the prescribed period I was unaware of the consequences of the delay 4. On 28/02/2025, upon communication with a CA Firm M/s ADN AND ASSOCIATES, Chartered Accountants, I became aware of the CIT(A) Order and immediately took necessary steps to file the present appeal without any further delay. 5. The delay caused is purely due to Lack of my Knowledge and awareness of the me and the negligence of the earlier consultant. I have always been diligent in complying with tax matters to the best of My ability and had no intention to disregard the sta....
X X X X Extracts X X X X
X X X X Extracts X X X X
....after the receipt of advance. IOCL dispatches the Petrol/ Diesel tankers to the Petrol pump of the Appellant. All the payments to IOCL are made through Banking channel only. Appellant has a turnover of Rs.33,43,04,077/- (Rs 33.43 Cr) out of which only Rs.43,70,355/- was unsecured loan and repayment done out of that is Rs.14,03,710/- and Rs.29,66,645 is left as closing balance at the end of the year. Appellant has submitted Pan card and credit worthiness report of the lender during the assessment proceeding also. Particular OPENING loan taken TOTAL LOAN TAKEN CLOSING BALANCE REPAYMENT Arun Kumar Majhi Bargaon Sundergarh - 770016 12,00,000 12,00,000 1200000 - Babita Pattnaik Angul Town Angul 2,50,000 2,50,000 0 2,50,000 Kali Kinkar Das Bhubaneswar 6,99.000 6,99,000 0 6,99,000 Seema Kishan Nalco Nagar, Angul-759145 14,00,000 14,00,000 1400000 - Tikinu Kishan Nalco Nagar, Angul-759145 577645 8,21,355 13,99,000 366645 4,54,710 577645 43,70,355 49,48,000 29,66,645 14,03,710 Tikinu Kishan, Arun Kumar Majhi, Babita Pattnaik, Kali Kinkar Das and Seema Kishan all are appellants relative and al....
X X X X Extracts X X X X
X X X X Extracts X X X X
....account payee cheque or account payee bank draft or use of electronic clearing system through a bank account, if, - (a) the amount of such loan or deposit or specified sum or the aggregate amount of such loan, deposit and specified sum; or (b) on the date of taking or accepting such loan or deposit or specified sum, any loan or deposit or specified sum taken or accepted earlier by such person from the depositor is remaining unpaid (whether repayment has fallen due or not), the amount or the aggregate amount remaining unpaid; or (c) the amount or the aggregate amount referred to in clause (a) together with the amount or the aggregate amount referred to in clause (b), is twenty thousand rupees or more. If assessee take or accept loan from any other person using the Bank Account/ cheque then no disclosure is required in 3CB & 3CD under clause 31. The amount of loan disclosed in 3CB & 3CD are erroneous as are occurred in cheque. However, there is no such transaction occurred from Ashadeep Homes Pvt Ltd during the FY17-18. Neither the amount of receipt nor the amount of payment is appearing in any of the bank accounts of the appellant or the Assessee. Moreover, this Ashadeep....
X X X X Extracts X X X X
X X X X Extracts X X X X
....h have been submitted for some of the lenders, but the assessment has concluded. The Ld. AO had not provided the Appellant an opportunity to prove the lenders before treating the loans as unexplained. The failure to allow such opportunity has resulted in an unjustified addition, which should be deleted. 4. Incorrect Invocation of Section 115BBE Section 115BBE of the Income Tax Act, 1961, deals with the taxation of unexplained income, including cash credits, unexplained investments, and other such unexplained amounts. Section 115BBE is applicable only when additions are made under sections 68 to 69D in cases where the nature and source of income are not satisfactorily explained. However, in the present case, the Assessee had duly explained and substantiated the loan transactions with credible evidence. Further if an Assessee provides sufficient documentary proofs regarding the source of income, invoking section 115BBE is not justified. The Ld. AO erred in applying the provisions of section 115BBE of the Act without justifiable reasons, thereby subjecting the assessed income to an excessive tax rate. Hence, the Ld. AO's action in applying an exorbitant tax rate unde....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... the Ministry of Corporate Affairs. In response to the notices issued u/s 143(2) and 142(1) of the Act the assessee submitted reply. Since the creditworthiness of the creditor Arun Kumar Majhi was not established for loan of Rs. 12 Lakh and the assessee failed to submit her reply and the proposed addition to the total income of the assessee at Rs. 73,48,000/- being the loan received from six persons during the year, after discussing the facts of the case a sum of Rs. 73,48,000/- was added to the income of the assessee u/s 68 of the Act including a sum of Rs. 24 Lakh from Ashadeep Homes Pvt Ltd which was an inactive company and had been struck off and any kind of investment made in the assessee's business by a struck off company has been treated as the income of the assessee under section 68 of the Act. 3.1 Aggrieved with the assessment order, the assessee filed an appeal before the Ld. CIT(A) who issued six notices but there was no compliance and accordingly, the appeal of the assessee was dismissed on account of non-prosecution. 4. Aggrieved with the order of the Ld. CIT(A) the assessee has filed the appeal before this Tribunal. 5. Rival contentions were heard and the submissio....