Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2020 (1) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2020 (1) TMI 49 - AT - Income TaxUnexplained cash credit u/s 68 - assessee failed to substantiate the credit worthiness of M/s Ram Alloy Casting Pvt. Ltd., who has advanced an amount of ₹ 27 lacs to the assessee - HELD THAT:- It is the allegation of the AO that despite summons issued, the said party did not appear and the reply given by the said party in response to notice u/s 133(6) raises certain doubts. CIT(A) upheld the action of the AO. It is the submission of the ld. Counsel for the assessee that given an opportunity, the assessee is in a position to produce the said party along with necessary documents to substantiate their credit worthiness. Considering the totality of the facts of the case and in the interest of justice, we deem it proper to restore the issue to the file of the AO with a direction to give one final opportunity to the assessee to substantiate its case by producing the said party before him. The AO shall decide the issue as per fact and law. AO, while deciding the issue, shall keep in mind the various decisions relied on by the DR. We hold and direct accordingly. The first ground raised by the assessee is accordingly allowed for statistical purposes.
|