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2015 (9) TMI 1182 - AT - Income TaxDisallowance of unexplained investment - CIT(A) deleted the addition - Held that:- In the facts and circumstances of the case, the CIT(A) has rightly observed that the assessee has discharged his onus fully by filing the complete details of bank transactions, name and address, Permanent Account Number, above all declaration on oath in shape of Affidavit wherein the said Party Rakesh Panchal H.U.F. has owned up the entire transactions of the Bank account. It is for the Assessing Officer of Rakesh Panchal HUF to verify as to why there is no income generated from several transactions in the bank account or for that matter conduct other inquiries. The assessee having discharged its onus clearly confirming that whatever transactions were outside the books have been owned up before the Settlement Commission and these transactions of Rakesh Panchal HUF are not owned up before the Settlement Commission and before the Assessing Officer the said person himself was owning up all these transaction, there is no question of making addition of ₹ 58,01,339/- as unexplained investment. The addition made was therefore rightly deleted by CIT(A) - Decided in favour of assessee. Disallowance of unexplained expenditure - CIT(A) deleted the addition - Held that:- We find that CIT(A) has rightly deleted the impugned addition by observing that the law is very clear that when the Assessing Officer has not found any evidence of assessee having incurred any expenditure for discounting of cheques, the addition made only on presumption and suspicion cannot be made u/s 69C. The addition is accordingly deleted. Nothing contrary has been brought to our knowledge by the Revenue.- Decided in favour of assessee. Unexplained cash credits u/s 68 - CIT(A) deleted the addition - Held that:- No infirmity in the order of CIT(A), since he has given reasoned finding that the Auditors had obtained all material and confirmations, which explained the genuineness, capacity and creditworthiness of all the creditors and credits appearing in bank account. After verifying and satisfying themselves, the Auditors had finally given their opinion that income earned in the above 10 concerns/persons from mutual funds, share investment and other income. Thus all other bank entries and credits therein stand clearly explained and could not be considered as unexplained. In view of this, the addition made deserved to be deleted. - Decided in favour of assessee.
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