TaxTMI 
TaxTMI 
2025 (2) TMI 1760
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....Section 250 of the Income-tax Act, 1961 [hereinafter referred to as "the Act" for short] dated 22.11.2023 for Assessment Year (AY) 2017-18, while the ITA Nos. 154 & 155/Ahd/2024 are the appeals preferred by the Revenue against the orders passed by the Ld. CIT(A) under Section 250 of the Act of even dated 22.11.2023 for AYs 2016-17 and 2018-19, respectively. Since the issues are common and appeals are inter-connected, the same are being disposed of by this common order for the sake of convenience. IT(SS)A No. 1/Ahd/2024 - Assessee's appeal 2. The principal grounds raised in this appeal are as follows:- 1. In law and in the facts and circumstances of the appellant's case, the Ld. CIT(A) has erred in sustaining the disallowa....
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....f the assessee at Rs. 4,26,56,249/-, by making disallowance of Rs. 31,38,785/- u/s 14A of the Act. 4. Aggrieved by the order of the Assessing Officer, the assessee filed appeal before the Ld. CIT(A) who dismissed the appeal of the assessee. 5. Aggrieved by the order of the ld. CIT(A) confirming the addition/disallowance made by the Assessing Officer, the assessee has filed appeal before the Tribunal. 6. Before us, Ld. Counsel for the assessee submitted that the Assessment Order itself is bad in law as the assessment was carried out mechanically on the basis of the fact that there was a search in the case of assessee. Therefore, the assessment for six years has been carried out by invoking the provisions of Section 153A of the Act, ....
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....learly identifiable as the Balance Sheet as well as Profit and Loss Account of the assessee's proprietary concern viz. Suryam Developers which are separately prepared and audited. The copies of audited Balance sheet and Profit and Loss account were already available with the Assessing Officer. Therefore, Ld. Counsel for the assessee contended that the expenses incurred by the proprietary firm i.e. Suryam Developers cannot be attributed to any investments made by the assessee. 7. The Ld. DR, on the other hand, relied upon the orders of the authorities below and submitted that the assessee has earned exempt income during the year under consideration, however, no expense was attributed to earn such exempted income. Therefore, the Assessing ....
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.... Rs. 13,30,313/- [AY 2018-19]." 10. The Assessing Officer observed that the assessee has taken unsecured loans from various parties. He also observed that assessee had squared off unsecured loans amounting to Rs. 2,25,00,000/- from M/s. Blackberry Commotrade Pvt Ltd and paid interest amounting to Rs. 7,01,506/- at the rate of 6% p.a. to the said company. It is also found that the assessee has squared off unsecured loan amounting to Rs. 8,30,00,00/- from M/s. Jai Ambe Vinimay Pvt Ltd and paid interest amounting to Rs. 16,38,904/- at the rate of 6%. The Assessing Officer held that the transactions made by the assessee with the above-mentioned concerns in respect of unsecured loan and interest paid on such loans were bogus and liable to be ....
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....arch u/s 132 of the Act is/are sustainable. 6.4 In the present case, following relevant incontrovertible facts emanate from the records: A.Y. Date of Filing of Return u/s 139(1) Date upto which notice a 143(2) could have been issued Date of Search 2016-17 15.10.2016 30.09.2017 28.01.2020 Thus, on the date of search, assessment proceedings had already been completed or was unabated. 6.4.1 Further the AO has made addition u's 153A r/w 143(3) in the order under current appeal of which details are as under: Sl. No. Description of Addition by AO Amount of addition Addition based on (from the Assessment Order 1 Disallowance of expenses u/s 14A r/w Rule 8D Rs. 62,47,484/- ....
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.... M/s. Jai Ambe Vinimay Pvt. Ltd. Sr No AY Unsecured loan received (Rs. ) Interest Exp of the loan total Income of the loan Provided as per its ITR 1 2016-17 1,85,00,000 - 338175 2 2018-19 4,75,00,000 19,52,153 9757250 3 2019-20 3,55,00,000 33,34,356 760994 4 2020-21 - 16,38,904 9473770 Reason for making the addition as mentioned by the AO o The companies are Kolkata based which is a hub of shell companies. Department has detected 16000 shell companies in Kolkata that are engaged in routing black money The addresses of the two companies is same o Financial Statements and income of the year show that they are paper concern and no active and....