Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2015 (8) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2015 (8) TMI 556 - AT - Income TaxUnexplained share capital/share application money - Held that:- Factual finding recorded in the assessment order as well as impugned order and the assertion made by the ld. respective counsel are kept in juxtaposition and analysed, we find that the Tribunal has already deliberated upon various judicial pronouncements including the off-quoted decision from Hon'ble Apex Court in the case of Lovely Exports Ltd.; [2008 (1) TMI 575 - SUPREME COURT OF INDIA]. In the present appeal the fund was claimed to be received from Omex Management (P) Ltd. Itself. This report was never contradicted by the assessee by bringing any adverse material on record. Before us, the ld. Counsel for the assessee merely contended that the search operation in the case of Omex Management P. Ltd. was done on 16.9.2009 whereas the transaction in the case of the assessee was made in 2007. We are not convinced with this argument because the director of Omex Management P. Ltd. was never produced by the assessee in its support, evidencing that it was not an accommodation entry, more specifically, when the report/statement were duly forwarded to the assessee for its comments. The financial statement of Standard Dealers P. Ltd. was duly examined by the Assessing Officer, wherein total receipt during the period was of a meagre sum of ₹ 3,51,449/-, virtually no business was carried out by the company. The expenses booked by this company comprises of administrative expenses, resulting into, book profit of ₹ 25,311/- only. In view of these facts, how a figure of the disputed amount can be believed to be diverted to others. The assessee has claimed that M/s. Standard Dealers P. Ltd. contributed the capital at a premium of nine times of the face value of its shares. The human probability does not permit to believe the story. The assessee, at any stage right from the assessment itself, neither brought on record any positive material in its favour nor cross-examined the director of the company Omex Management P. Ltd. which was brought to the notice of the assessee and the report dated 10.12.2009 of DDIT(Inv.), Kolkata wherein it was tendered that they are providing accommodation entries. We further find that due enquiry has been made by the Assessing Officer before making the impugned addition. When the source of the impugned amount is itself bogus, the net result cannot be genuine unless and until, positive material is brought on record to contradict the finding of the Department. In view of these facts, we find no infirmity in the conclusion drawn by the ld. CIT(A). It is affirmed. - Decided against assessee.
|