Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2015 (12) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2015 (12) TMI 1284 - AT - Income TaxPost Search assessment - double additions - Benefit of the surrender made by the assessee - Held that:- In this case assessee has prepared a cash flow statement from the books of accounts of the assessee and shown that sources of the amount of ₹ 25,00,000/- taken to Bhuveneshwar on 5.8.2008 and ₹ 45,00,000/- cash seized on 22.8.208 are out of the amount available with the assessee on account of surrender made. As per the detailed breakup of the entries passed by the assessee on account of surrender shows that an amount of ₹ 45,00,000/- Seized by Income tax department and ₹ 25,00,000/- being cash sent to Bhuvenshwar shown as 'cash to BBS' as per page no 6 of the paper book.. As per page 2 of the paper book, Cash flow statement shows that as on 6.8.2008 assessee was having the cash balance of ₹ 1,50,85,236/- and out of which on 31.7.2008 an amount of ₹ 6,14,597/- was spent on Infoage, on 5.8.2008 ₹ 25,00,000/- utilized for sending for cash to Bhuvneshwar and on 22.8.2008 cash was seized by Income tax department of ₹ 45,00,000/-. As per that statement assessee still has the balance of ₹ 74,70,639/- as at 22.8.2008 which is taken in to the books of accounts. This cash flow statement is not controverted by the AO as well as CIT(A) when it was specifically submitted that same is made based on the entries made in the cash book immediately after the surrender of ₹ 2,47,85,236/-. It is surprising that AO wants to tax the surrender amount as well as its application which definitely amounts to double addition in the hands of the assessee specially when the amounts are recorded in the books of accounts and there is no evidence that same is not available with the assessee Merely on the basis of time period in absence of any contrary material assets/ cash available with the assessee in its books cannot be disbelieved. We reject the contention of the revenue that because of elapse of such a long time, credit of surrender made by assessee cannot be granted for the amount used by assessee out of that disclosure/surrender. Therefore we reveres the order of CIT (A) and delete the addition - Decided in favour of assessee.
|