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2015 (2) TMI 725 - HC - Income TaxUnaccounted services rendered by brokers - CIT(A) allowed the claim of assessee - ITAT reversing the said order of CIT(A) has held that the appellant has failed to discharge the burden cast upon him by law - Held that:- For Suvidha Realtors the Assessing Officer came to the conclusion that the bills are suspicious as the total bill raised including the service tax and education cess came to ₹ 11,20,385. However, the bank statement of M/s. Suvidha Realtors and Constructions Pvt. Ltd. indicated that the amount credited in the said bank account of M/s. Suvidha Realtors was subsequently transferred to the account of M/s. Suvidha Realtors, another entity. For M/s. Panjon Pharma AO noted as not in the business of providing any services in the past. This was the first order in which huge commission is shown to have been paid and received from the assessee-appellant before us. The Assessing Officer was surprised, therefore, and rightly as to how the company in the pharmaceutical business could render services in connection with sale of cement and procurement of order for supply of cement. M/s. Panjon Pharma had huge brought forward business loss which was set off against the commission income received from the assessee. The Assessing Officer also noticed that the commission amount was credited in the account of Panjon Pharma in the HDFC Bank and the next entry was to transfer this sum to another account, for the reasons which were disclosed to the Assessing Officer. Therefore, ITAT did not commit any error and rather applied the correct test in reversing the order of the CIT(Appeals). The appellant has not been able to discharge the burden and it is not impossible. It is a primary onus and which was to be discharged and which has been held as not discharged by providing the requisite details. We do not find that the reasons assigned by the Tribunal consistent with the material produced are vitiated by perversity or an error of law apparent on the face of the record which would enable us to exercise our powers under section 260A of the Act. - Decided against assessee.
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