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2015 (6) TMI 570 - AT - Income TaxAddition u/s 68 - Held that:- In the case of CIT vs. S. Kamaljeet Singh (2005 (1) TMI 676 - ALLAHABAD HIGH COURT), it was held that where the assessee has brought on record the confirmation of creditor, their affidavits, their full address, GIR/PAN, the assessee’s burden stood discharged and addition is not called for. Thus hen the assessee has established the identity of the creditor and the amount is received by account payee cheque, source of the credits need not be proved. In the present case, confirmation of all creditors with full address and PAN, bank statement and assessment particulars are brought on record. Only adverse feature is that in some cases, there is cash deposit in the bank account of the creditor. Merely on this basis alone, it cannot be said that those creditors are not having credit worthiness particularly when these creditors are assessed to tax and their PAN, address and assessment particulars are furnished and the A.O. has not made any effort to call any detail from the creditors or to verify the details from the A.O. of the creditors. Therefore no addition is justified u/s 68 of the Act in respect of any of the cash credits. - Decided in favour of assessee. Disallowance of car expenses - Held that:- Element of personal use of car cannot be ruled out and disallowance is only 10% of the expenses and hence justified. It is not shown that the assessee was having any personal vehicle for personal use, expenses of which were not claimed as business expenses. - Decided in favour of assessee.
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