TaxTMI 
TaxTMI 
2025 (9) TMI 892
X X X X Extracts X X X X
X X X X Extracts X X X X
....arising out of Assessment Order dated 31.12.2019 of the Learned Income Tax Officer, Ward 8(1), New Delhi (hereinafter referred as "the Ld. AO") under Sections 143(3)/147 of the Act for assessment year 2012-13. 2. Brief facts of the case are that the assessee company filed its return of income on 28.03.2013 declaring income of Rs. 5,25,360/-. Information from DDIT(Inv.), Unit 5(3), New Delhi dated 18.03.2019, 22.03.2019 and 16.03.2019 from DDIT was received that the assessee company was a beneficiary of accommodation entry through RTGS/Cheque/transfer entries from the bogus or paper concerns of Skylark Group & other entities during the year under consideration and the aggregate amount of accommodation entries worth Rs. 1,33,29,600/-. Afte....
X X X X Extracts X X X X
X X X X Extracts X X X X
....On the facts and circumstances of the case, the learned CIT (A) has erred both on facts and in law in enhancing the assessment on adhoc basis by solely placing the reliance on the judgment of a non-jurisdictional High Court and without bringing on record any material evidence. 4. On the facts and circumstances of the case, the learned CIT (A) has erred both on facts and in law in affirming and enhancing an assessment which itself was made on protective basis only by doubting few transactions entered into by the assessee. 5. On the facts and circumstances of the case, the learned CIT (A) has erred both on facts and in law in upholding the assessment order passed without disposal of objections raised by the assessee by way o....
X X X X Extracts X X X X
X X X X Extracts X X X X
....f providing accommodation entry. As is apparent from the bank statement of the assessee wherein it is clear that the opening as well as closing balance is minimal which has led to conclusion that the assessee being a facilitator for providing accommodation entries and therefore, an addition w.r.t. commission income @ 2% the assessee has already been made on substantiate basis as discussed above. 5.2 Apparently there is no business activity carried out by the assessee, only credits and debits in the bank account almost of equal amount, with paltry sum of Rs 4051 and Rs 142 in Axis Bank and HDFC Bank respectively. The only income brought to tax by the assessing authority is the Commission earned at 2% of total credits. The fact remai....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ices to any party except transaction without purpose. (c) Funds in large volume were transferred as credits and debits from the bank account of the assessee company without purpose and any economic rationale. (d) The credits/transactions appearing in the bank account seems to be with an arrangement for earning commission. (e) All the debit and credit transactions appearing in the bank account of Assessee Company are not business transactions but accommodation entries executed on commission. (f) The credit entries which are coming into the assessee's bank account were Immediately transferred out either on the same day or on the next day. (g) The modus operandi employed is to provide a passage ....