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2014 (5) TMI 619 - ITAT DELHIDeletion made u/s 68 of the Act – Unsecured loan – Held that:- CIT (A) has found that the identity of the lenders in the cases of Shri Deepak Gupta, Ms Reena Jain and Shri Sunil Kumar Jain, HUF, stood established - the assessee had filed copies of their income-tax returns along with their confirmed account statements before the AO - documents could have been directly called for by the AO, which was not done - no suspicion or unnatural cash deposits were there - CIT (A) found substantial transactions to exist in most of the bank accounts of the lenders, from which, the credit worthiness of the lenders was available - when the AO had issued summons u/s 131 of the Act to M/s Arhan Commercial Corporation, M/s Kiran Enterprises and M/s Unnati Enterprises, the parties presented themselves for personal verification before the AO - Their income-tax returns, PANs, confirmations and bank statements, etc., were duly furnished. The AO had taken the amounts as unexplained only because their confirmations, ITRs and bank statements had been posted from the nearest Speed Post centre, the confirmations were in the same hand and they contained similar/same recitals, which was not possible - the factum of the assessee having duly identified the lenders and that of the assessee having proved the loans to be genuine, by filing the primary details before the AO, was nowhere rebutted by the AO - The contents of the confirmations issued by the creditors and their bank statements also remained unquestioned by the AO - the factum of the assessee having deducted TDS on the interest of the loans and having repaid the loans also remains undisputed - the addition made by the AO was made only on the basis of suspicion and nothing else - CIT (A) has correctly deleted the additions – Decided against Revenue.
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