AI Drafter 
TaxTMI 
TaxTMI 
TaxTMI 
2025 (12) TMI 155
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....5. The impugned order emanated from the order of the National Faceless Assessment Centre, Delhi (hereinafter called 'Ld. AO') passed under section 143(3) read with section 144B of the Act, date of order 14/09/2021. 2. The assessee has taken the following grounds: - "GROUND NO. I: ADDITION U/S 69/68 OF THE ACT: 1. On the facts and in the circumstances of the case and in law, Ld. CIT (A) erred in confirming the action of Ld. AO and in making the addition u/s 69/68 of the Act towards the loan of Rs. 375,00,000/- received by the Appellant from M/s Videocon reality and infrastructure Limited without appreciating that the same has been fully explained by the Appellant. 2. Therefore, the Appellant prays that the addit....
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...., modify and/or withdraw any of the Grounds of Appeal herein and to submit such statements, documents and papers as may be considered necessary." 3. The brief facts of the case are that the assessee is engaged in the business of Allied Optical Fiber working and filed the return under section 139(1) of the Act. The assessee's case was selected under CASS under the e-Assessment Scheme, 2009. Notices under section 143(2) And 142(1) were issued and the addition was made under section 36 and under section 69 of the Act related to assessee's failure to explain amount of Rs. 3.75 crores out of total asset of R. 54,25,42,412/- as on 31/03/2018. So Rs. 3.75 crores is taken as deemed income under section 69 of the Act. Aggrieved assessee filed an ....
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....d. AO. Thereafter, an assignment agreement was executed between the assessee, VRIL and BGCL on 4th March 2022, whereby VRIL assigned the loan of INR 3.75 Crores to BGCL, copy of agreement enclosed at APB pages 282 to 285. Pursuant to this agreement, the assessee became liable to repay the said loan directly to BGCL. Relying on the assignment agreement, the assessee repaid the loan amount of Rs. 3.75 Crore entirely to BGCL, enclosed the bank statement for loan repayment at APB page 279. From the bank statement, it may be seen that the total payment of Rs. 42,73,00,000/- was made to BGCL on 12/05/2023. This payment includes amount of Rs. 3,75,00,000/- payable towards the loan. In this regard, copy of ledger of BGCL is enclosed at APB pages....
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....n funds from VRIL (Pages 129-131 of paper book) (iii) Additionally, the Appellant has also demonstrated that the loan has been irretrievably repaid to the loan assignee, BGCL, and has provided the following supporting documents ● Bank statement showing repayment of the loan to BGCL(Page 279 of paper book) ● Ledger account of BGCL in the books of the Appellant; and (Page 280-281 of paper book) ● Assignment agreement (Page 282-285 of paper book) ● Board Resolution by VRIL (Page 286 of paper book) ● Share-holding pattern from Company Secretary (Page 377 of paper book) (iv) In view of the above, the Appellant has clearly established the identity of the ....
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.... is concerned. Dr. Daniel has pointed out that section 68 of the Income-tax Act, 1961 (IT Act), is very clear in providing that where any sum is found to be credited in the books of the assessee for the previous year and the assessee offers no explanation about the nature and source thereof or the explanation offered by him is not, in the opinion of the Assessing Officer, satisfactory, the sum so credited may be charged to the income tax as the income of the assessee of that previous year. Relying upon several decisions. Dr Daniel submits that since, it is the case of Revenue that some amounts were found credited in the book of account for the financial year 2006-07, there was no question of taking cognizance of such amounts for the assessm....