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2015 (10) TMI 1271 - AT - Income TaxAddition u/s. 68 - CIT(A) deleted the addition - Held that:- From the details filed it is clear that in most of the cases loans/liabilities are of not current year and the balances were appearing in the balance sheets of earlier AY.s.It was admitted by the AO that in the cases of Dilip Chopra, Pranav Enterprises and Gautam Petrochem Industries Pvt. Ltd.the outstanding liabilities pertained to earlier years.Therefore,in our opinion the FAA was justified in deleting the additions made by the AO.Similarly,in the cases of Rajendra Chopra,Rakesh Chopra,K-Sarc Polymers, Pyramid Energy Creations Co.,BPC Polymers and Chakreshwari Plastics (India) Ltd. Suvidhi Impex,it was found by the FAA that most of the balances were old,that the transactions were carried out through banking channesl,that identity or creditworthiness of the lenders was not in doubt.Lastly in the case of J K Jain and M/s. K.C. Jain it is found that their returns and balance sheets were filed before the AO but he did not comment about the authenticity of the documents. It is a fact that the PAN of all the creditores were made available to the AO.Copies of the returns of the lenders were also filed in most of the cases.The AO could have very well cross verified the genuineness of the transactions.But,he did not make any investigation in that regard. So,we agree with the observation of the FAA that the assessee had sufficiently discharged the burden which lay upon her to explain the nature and source of the credit entry appearing in her books of accounts and the burden had clearly shifted to the AO to prove to the contrary to hold that in spite of her explanation the entries could still be held to represent her income. In our opinion,the AO failed to discharge the onus shifted to him. Therefore, we hold that the FAA had rightly concluded that it was sufficient to delete the addition. - Decided in favour of assessee.
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