2025 (11) TMI 278

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.... order of ld. CIT (A) upholding the order of ld. AO wherein the ld. AO made an addition of Rs.1,86,50,058/- on account of unsecured loans by invoking the Provisions of Section 69A of the Income-tax Act, 1961 (the Act) 03. The facts in brief are that the assessee filed the return of income on 21.07.2012, showing total income of Rs.1,67,529/-. The case of the assessee thereafter reopened u/s 147 of the Act after the ld. AO received information from the DIT (Inv), Kolkata regarding credit of Rs.1,68,67,145/- in the Saving bank account held by the assessee in the Yes Bank. The Director of Income Tax also issued summons u/s 131 of the Income-tax Act, 1961 (the Act) to the assessee to submit the details of source and nature of transactions. Th....

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....e that in couple of cases the notice issued u/s 133(6) of the Act were returned and served which had happended because of wrong mentioning of addresses of the loan creditors which were later on rectified and thereafter all the details / information were filed before the ld. Assessing Officer. The ld. AO treated the loan amounts as unexplained money u/s 69A of the Act with is totally wrong and against the provisions of the Act. Section 69A deals with the unexplained money and does not apply to the unsecured loans raised by the assessee. For the sake of ready reference, we extract the section 69A as under:- "69A. Where in any financial year the assessee is found to be the owner of any money, bullion, jewellery or other valuable artic....

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....idences nor pointed out any defect. Therefore the addition made by the ld. AO and sustained by the ld. CIT (A) are against the provisions of the Act. The case of the assessee finds support from the decision of the Hon'ble Calcutta High Court in the case Pr. CIT-9, Kolkata vs. Sreeleathers [448 ITR P-332] dated 14.07.2022 wherein Hon'ble Court has held : 'In the absence of any such finding, it is held that the order passed by the Assessing Officer was utterly perverse and rightly interfered by the Commissioner (Appeals). The Tribunal re-appreciated the factual position and agreed with the Commissioner (Appeals). The Tribunal apart from taking into consideration, the legal effect of the statement of AKA also took note of the fact tha....