TaxTMI 
TaxTMI 
2026 (10) TMI 608
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....ng grounds of appeal: "1. General Ground That on the facts and in the circumstances of the case, the disallowance and/or denial of claim, the quantification of taxable income and the tax liability, made by the Learned Assessing Officer in the order passed under section 147 of the Income-tax Act, 1961 (the Act) for AY 2019-20 is grossly unjustified, erroneous and unsustainable and necessary direction may please be given to the Learned Assessing Officer to give appropriate relief in accordance with law. 2. That on the facts and in the circumstances of the case the Learned Assessing Officer grossly erred in denying deduction u/s 80GGC of the Act of an amount of Rs. 200,000/- representing the donation made to Yuva Jan....
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....n law. 7. That appellant requested to consider deduction of Rs. 2,400 professional tax which appellant failed to claim during ITR return filing and the same not considered by Learned Assessing Officer while recomputing income under section 147 of the Income Tax Act. The Appellant craves leave to add to, alter or amend any of the above grounds, if and when necessary." 3. Brief facts of the case are that the assessee had filed the return of income for the AY 2019-20 on 17.10.2019 declaring the total income of Rs.6,73,850/-. The Assessing Officer [Ld. 'AO'] received specific information that a search u/s 132 of the Act was conducted on 07.09.2022 at the premises of RUPPs group of Ahmedabad and in this search a tota....
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....arty, commission amount ranging from 2% to 3% was deducted and the rest amount was returned to the donor in cash. He mentioned a number of commission agents, mostly CAs, who were involved in the process of returning the bogus donation amount in cash to the donors after layering through the bank accounts of bogus entities operated by Shri Manish Shah. The details of such statements recorded are mentioned in the assessment order. There was an admission made by Shri Umang Vinodbhai Darji, who was the facilitator/commission agent and his statement recorded in the course of the search on 07.09.2022 is also reproduced in the assessment order. Shri Mixit Nareshkumar Kothari, who was an auditor/commission agent, who was also covered in the search a....
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....almost the same facts which were submitted in the reply in response to the show cause notice issued. Accordingly, the Ld. AO disallowed the claim of deduction u/s 80GGC and loss on house property on account of interest paid as claimed by the assessee and also added the undisclosed interest income on income tax refund and assessed the total income of the assessee at Rs.10,56,276/- u/s 143(3) r.w.s. 147 of the Act. Aggrieved with the assessment order, the assessee filed an appeal before the Ld. CIT(A), who considered the facts of the case, the submission made by the assessee, the findings of the Ld. AO and dismissed the appeal of the assessee vide his findings as under: "6. Decision: I have carefully considered the facts of ....
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....t of the above, I find no reason to interfere with the addition made by the AO. The explanation offered is not satisfactorily supported by credible evidence. Therefore, the addition of Rs. 3,82,042(Rs.2,00,000 + Rs. 1,82,042) made by AO is upheld. Hence, the appeal is treated as dismissed." 4. Aggrieved with the order of the Ld. CIT(A), the assessee has filed the appeal before the Tribunal. 5. Rival contentions were heard and the submissions made have been examined. The Ld. AR submitted that the addition was made on account of donation to political party and interest on loan. The Ld. AR relied upon the decision in ITA No. 411/AHD/2026 for the AY 2019-20 in the case of Mr. Suresh Kumar Prahlad Bhai Patel vs. ITO Ward 5(3)(2) order date....
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....be bogus, the Ld. AR could not submit any further evidence contrary to the finding of the Ld. AO which is based upon the admission in the course of the search. The provision of section 292C of the Act specify that any books of account, other documents, money, bullion, jewellery or other valuable article or thing are or is found in the possession or control of any person in the course of a search under section 132, it may, in any proceeding under this Act, be presumed that such books of account, other documents, money, bullion, jewellery or other valuable article or thing belong or belongs to such person; that the contents of such books of account and other documents are true; and that the signature and every other part of such books of acco....