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2015 (9) TMI 1732 - AT - Income TaxReopening of assessment u/s 147 - Unexplained share capital - HELD THAT:- Reopening of the assessment, it is to be noted that AO in the reasons has mentioned a sum from 9 parties. Wherein the amount in the case of Kuberco Sales Pvt. Ltd and M/s Shriniwas Leasing & Finance has been mentioned twice - the assessee has not received any share capital from M/s VR Traders and M/s Shriniwas Leasing & Finance. Therefore the correct amount from five parties. This factual aspect has been confirmed by the CIT(A) and the same was not denied by the DR. This shows non-application of mind by AO at the time of reopening of the assessment and hence reopening is bad in law. Thus, the Navodaya Case will not be applicable in the present case as the assessee has given the substantial evidence during the course of original assessment along with confirmation to the AO. The same was ignored by the AO. Hence, on this issue the Ground No. 1 of the Revenue is dismissed. CIT(A) upheld the contention of the assessee that assessee has not received any share capital from M/s VR Traders and M/s Shriniwas Leasing & Finance. It also held that the amount in the case of Kuberco Sales Pvt. Ltd. And M/s Shriniwas Leasing & Finance has been mentioned twice. Accordingly the CIT(A) held that the disputed amount of the share capital on the basis of which addition has been made by the AO comes - CIT(A) after examination of the evidences and the various judgments further held that assessee has discharged its onus and AO has not brought any material to discredit the evidences submitted by the assessee. Hence CIT(A) rightly deleted the addition made on merit. - Decided against revenue.
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