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2016 (1) TMI 1020 - AT - Income TaxAddition u/s 68 - Held that:- Transactions were all made through account payee cheques through banking channels and creditors are identifiable and the loans were mainly obtained from them to deposit the TDS amount into government account in the course of carrying on the business. The loans were repaid through banking channels. Counsel submits that at that point of time the assessee could not produce creditors confirmations before the Assessing Officer . He pleads for one more opportunity for submission of confirmations before the Assessing Officer. Taking the totality of the facts and circumstances of the case into consideration, we are of the view that since the transactions are made through account payee cheques, the identity of the creditors cannot be doubted. However, the burden is on the assessee to produce creditors’ confirmations and to explain the sources of loans. In the interest of justice, we are inclined to give one more opportunity to the assessee to establish the identity, credit worthiness and genuineness of the transactions. Thus, we set aside the impugned order and restore the issue back to the file of the Assessing Officer and the assessee shall prove the identity, creditworthiness and genuineness of the transactions to the satisfaction of the Assessing Officer - Decided in favour of assessee for statistical purposes.
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