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2014 (3) TMI 1183 - ITAT CHENNAIBogus payment to sister concerns - as argued commission paid to assessee’s sister concern was already offered for taxation - AO doubted the commission paid on the ground that the assessee has been changing its stand frequently - HELD THAT:- There was nothing on record that the assessee has taken help of its sister concern. Even assuming that the assessee paid ₹ 25,00,000/-, when the Assessing Officer has asked the nature of payment, it has changed the stand and submitted that it was not commission and it was only an interest. When the AO has asked the assessee that it had already paid advance to sister concern M/s. ICMC Corporation Ltd. and why no interest was charged to that advance, the assessee has not given any explanation before the Assessing Officer or before the ld. CIT(Appeals) and even before the Tribunal. The assessee had changed its stand and bifurcated the amount of ₹ 25,00,000/- with various expenses. The assessee has not explained as to how it has bifurcated without giving any proper explanation. Simply because the sister concern had offered ₹ 25,00,000/- to tax, on that basis, the assessee cannot escape tax liability, particularly when the sister concern has not paid any tax by filing ‘NIL’ return. We are of the opinion that the assessee has failed to discharge its burden cast upon it that the payment of ₹ 25,00,000/- is a genuine payment. Therefore, the appeal filed by the assessee stands dismissed.
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