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2019 (4) TMI 1764 - AT - Income TaxAddition u/s 68 - HELD THAT:- We find the assessee, in the instant case, has received an amount of ₹ 6.35 crores from M/s Manan Merchandise Pvt. Ltd., a group company, which , in turn, has received the money from Kolkata based paper companies. Neither M/s Manan Merchandise nor the Kolkata based companies from whom M/s Manan Merchandise Pvt. Ltd. has received money are doing any real business and all these companies are paper companies. We find, recently, the Hon'ble Supreme Court in the case of NRA Ispat (P) Ltd. [2019 (3) TMI 323 - SUPREME COURT] had an occasion to decide an identical issue where the decision of the Hon'ble Delhi High Court was reversed on the ground that the share applicants are paper companies without doing any real business and had no capacity to invest such amounts when their returned income was very negligible. Similarly, the Hon'ble Delhi High Court in the case of NDR Promoters Pvt. Ltd., [2019 (1) TMI 1089 - DELHI HIGH COURT] has upheld the addition made by the Assessing Officer u/s 68 on account of share capital and share premium holding that the transactions in question were clearly sham and make believe with excellent paper work to camouflage their bogus nature. We deem it proper to restore this issue to the file of the CIT(A) with a direction to adjudicate the issue afresh in the light of the above decisions.
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