TaxTMI 
TaxTMI 
TaxTMI 
2022 (2) TMI 1526
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....ts of the case are that in this case the original return of income declaring loss of Rs. 78,386/- was filed on 30.09.2012 and the same was processed u/s. 143(3) of the Act on dated 14.03.2013 at the returned income. Thereafter, a search and seizure operation was conducted in the case of Kuber Group of cases as on date 09.10.2014 wherein, the statement of one person Shri Mul Chand Malu was recorded on dated 15.12.2014 by which Shri Mul Chand Malu had offered to declare undisclosed income of Rs. 100 crores of the Kuber Group of companies and their directors under specific head of share capital/share premium/capital formation out of total undisclosed income of Rs. 150. 4. During the post search investigation, summons were issued u/s. 131 of the Act to various persons allegedly providing accommodation entries. However, the AO did not receive any reply as the same were either returned un-served or no compliance was made. It was observed by the AO that during the year under consideration the Assessee company had received share capital, share premium and unsecured loan from following companies:- S. No. Name of the companies Address Share capital/share premium/unsecured loan....
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.... ld. Commissioner affirmed the assessment order on legal ground qua reopening of the case u/s. 147/148 of the Act and on merit as well as by holding as under:- "6.1.7 In this view of the matter, I hold that the AO had sufficient material before him, and that he had duly applied his mind thereupon, and he came to an honest and reasonable belief that income of the appellant had escaped assessment. As such, this challenge of the appellant is without any basis and is rejected. Thus, I hold that notice u/s. 148 was not issued on borrowed satisfaction. I also hold that there is no change of opinion and that the action of the Assessing Officer is based upon admissible, credible and actionable information. 7 ................................. 7.1 ................................. 7.2 ................................. 7.3 It would also not be out of place to mention here that different courts have held that the transactions should stand the test of human probability. Transactions need to be understood in there entirety and in the context in which they take place. It would not be far fetched to conclude that it is the assessee's own money earne....
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.... justice, without fair and objective application of mind to the facts of the case and the law applicable and without being guided by the binding decisions of courts and tribunals and hence liable to be set aside and quashed and declared non est. in law. 2. On the facts and circumstances of the case, the learned Ld. CIT(A) New Delhi has erred, both on facts and in law, in sustaining the assessment of the appellant at income of Rs. 4,976,614/- as against the income of (Rs. 78,386/-) declared by the appellant. 3. On the facts and circumstances of the case, the learned Ld. CIT(A) New Delhi has erred, both on facts and in law, in sustaining the assessment that could not have been re-opened u/s. 147/148 as no valid reasons have been recorded by the Assessing Officer to establish any satisfaction on his part that any income belonging to the appellant has escaped assessment. 4. On the facts and in the circumstances of the case Ld. CIT(A) New Delhi has erred both on facts and in law, in sustaining the action of AO as no incriminating material whatsoever was found/unearthed as a result of search. 5. On the facts and circumstances of the case, the learned L....
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....e case of the Assessee for Assessment Year 2011-12 was reopened u/s. 148 of the Act on the basis of the same statement of Mr. Mul Chand Malu as used in this case,. The Hon'ble Tribunal in the said case deleted the addition by holding as under:- "11. Now we come to the other issues of the reopening of the assessment challenged by the assessee. The reopening has been challenged by the assessee stating that initiation of proceedings u/s. 147 of the income tax act is solely on the basis of the unverified, unrectified, unsubstantiated and unconfirmed statement of Mr. Malu. It is further the claim of the assessee that the learned assessing officer has violated the principles of natural justice by not providing the opportunity for cross-examination of the persons whose statements have been relied upon by him in spite of specific request made by the appellant in the assessment proceedings as well as before the learned CIT - A. Admittedly in this case notice u/s. 148 of the income tax act was issued on 31/3/2017. The reasons recorded in the first paragraph clearly refer to the search and seizure operation carried out on the Kuber group of cases on 9/10/2014. During post search ....
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....and providing accommodation entry to the beneficiaries as per the statement of the directors/to persons of respective companies admitted during both during the previous enquiry survey/searches. For balance 18 companies, as per inspector report, no such companies existed at the addresses mentioned. The name of the company who deposited money with the assessee appears in the list of 18 companies where the inspector has gone to the incorrect address as held above. Further, at para number 10 of the remand report, request of the assessee for cross-examination is dealt with. The learned assessing officer and stated that in the commission report received from Calcutta office, statement of Mr. Vikas Kumar Agarwal, Devesh Upadhyay, and Praveen Kumar was mentioned. However, in none of these entry operators' statement the name of the company, which deposited money with the assessee, is mentioned. Further assessee asked the cross-examination of these persons who have mentioned the name of the above-deposited company. Statement recorded of all these persons are prior to date of search on Kuber Group. Thus, statements are recorded by the investigation wing prior to search, naturally before t....
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..../2019 decided on 06.12.2021} while relying upon the aforesaid judgment passed by the co-ordinate Bench in the case of Kuber Khanpan Pvt. Ltd. (supra), deleted the similar addition by observing as under:- 23. We find, identical issue had come up before the Tribunal in the case of sister concerns of the assessee, namely, Kuber Khanpan Udyog Pvt. Ltd. And Kuber Food Products India Pvt. Ltd. in ITA No. 580/Del/2019 and ITANo. 322/Del/2019, respectively, order dated 22nd October, 2019 for AY 2011-12. We find, the Tribunal, in the case of Kuber Khanpan Udyog Pvt. Ltd., while deciding the issue had noted the following facts at para 4 of the order:- "4. Brief facts of the case is that Kuber Khanpan Udyog Pvt. Ltd. filed its return of income on 29.09.2011 for Rs. 320270/-. The assessment of the company was reopened u/s. 148 of the Act on 31.03.2017. The Assessee filed return in response to that notice on 13.04.2017 declaring the same income. The assessment u/s. 143(3) read with section 147 of the Act was passed on 12.05.2017 at Rs. 14795510/-. The addition of Rs. 1.35 crores was made in the hands of the Assessee u/s. 68 of the Act. During the search and seizure u/s. 132 of....