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2013 (5) TMI 579 - AT - Income TaxUnexplained unsecured loan - assessee failed to produce loan creditors & prove identity and credit-worthiness of the creditor - Held that:- Assessee has discharged its onus by filing confirmations from the donors, copies of acknowledgment of returns of the relevant assessment year, copies of PAN card, copies of bank statements and also contra confirmation. Once this is the position and none of the authorities below have gone into the details and not doubted the genuineness of the transaction or the creditworthiness of these creditors. Respectfully following the decision of M/s. Dataware Private Limited (2011 (9) TMI 175 - CALCUTTA HIGH COURT) that in the absence of any enquiry from the AO of the creditors, the AO cannot make the addition in the hands of the assessee by treating the loans received by assessee as unexplained.Thus delete the addiitions made allow the appeal of assessee. Undisclosed receipts - CIT(A) deleted the addition - Held that:- Assessee is a co-owner in the building SKY STAR (SS). These co - owners entered into several lease agreements with various companies for letting out the property on rent and service charges. These rent and service charges were paid by the companies proportionately to the co-owners. Taxes on the same were also deducted at source and TDS certificates were issued in the name of respective co-owners. The assessee has explained that the sum of Rs.1,56,200/- being a contractual receipt i.e. service charges received from ICICI Bank vide lease agreement with ICICI Bank dated 20.02.2003, 16.10.2003 and 21.02.2003 & filed complete reconciliation and details of rent and service charges received from ICICI Bank. This sum of Rs.1,56,200/- is included in the business income of the Assessee and also TDS was claimed. In such circumstances CIT(A) has rightly deleted the addition. In favour of assessee. Bogus gift of immovable property - CIT(A) deleted the addition - assessee's brothers and mother have gifted their 1/8th undivided share in the above building Sky Star - Held that:- The burden of showing that the apparent state of affairs was not the real one, very heavy burden lies on the department. In the facts and circumstances of the instant case, apart from circumstances which by themselves could be said to be neutral, there was no material to doubt the nature of the transaction and to hold that the same was income of the assessee. Every gift made or in regard to which no quid pro quo has been made in the absence of the same automatically the income from transaction cannot be made as income of the assessee u/s. 69. Without tangible material to suspect that the gift made by the relatives or without recording any finding or evidence the conclusion reached by the CIT(A) needs to be upheld. Even otherwise, the explanations offered by the assessee has not been rejected by revenue and in such circumstances, this issue of revenue's appeal is dismissed. - In favour of assessee.
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