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2016 (5) TMI 799 - HC - Income TaxAddition on account of unexplained unsecured loans - Held that:- We find no merit in the said ground of appeal raised by the revenue in view of the confirmations being filed by the assessee in respect of the balance three loan creditors i.e. S/Shri Deepak Mahindra, Dr. Murari Lal Aggarwal and Rajinder Mohan Singla. The assessee has also furnished on record the confirmation of the aforesaid parties. The addition was made by Assessing Officer for non furnishing of balance confirmation of loan creditors. In view thereof where the assessee has duly complied with the requisitions of the Assessing Officer, there is no merit in any disallowance - Decided in favour of assessee Addition on account of alleged unexplained payment for purchase of land - Held that:- The assessee during the year under consideration had purchased a plot of land for a total consideration of ₹ 2,15,90,000/-. However, the market value of the said land was taken at ₹ 2,37,45,000/- by the registering authorities. The seller of the property had reflected the sale price i.e.Rs. 2,15,90,000/- in their hands and the same was accepted while assessment order passed under section 143(3) of the Act. The assessee has furnished on record the information sought by the Assessing Officer in the case of the seller under section 133(6) of the Act which are placed at pages 20 to 22 of the paper book. The CIT(A) has observed that price of the land as mentioned in the sale deed and not the market price has been confirmed by the seller in response to the queries raised by the Assessing Officer directly to them. Further, there is no evidence of payment of any amount over and above the sale consideration recorded in the sale deed. In the absence of the same, we are in conformity with the order of the CIT(A) in deleting the addition of ₹ 21,55,000/-. In any case, the addition, if any, under the provisions of section 50C of the Income Tax Act are attracted in the hands of the seller and not in the hands of the purchaser - Decided in favour of assessee Addition on unexplained payment of stamp duty etc. for the purchase of land - Held that:- he assessee claims that the said stamp duty has been paid out of the cash available in its books of account. The learned DR for the revenue had not controverted the findings of the CIT(A). In the absence of any contrary findings, we are in conformity with the order of CIT(A) in deleting the addition of ₹ 24,10,000/-. The source of credit also stands explained being out of the unsecured loans raised by the assessee which in turn were looked into by the Assessing Officer that since the assessee has also explained the source of the cash in hand and established the availability of cash, we uphold the order of CIT(A) in deleting the addition - Decided in favour of assessee Unexplained deposits in the bank account of the assessee - Held that:- Assessee had furnished the copy of bank statement of Shri Gulshan Arora, from whom a sum of ₹ 90,000/- was received by cheque and the balance ₹ 40,000/- was deposited out of cash in hand available with the assessee and the photocopy of relevant pages of cash book was furnished on record. The CIT(A) deleted the addition of ₹ 1,30,000/-. We are in conformity with the order of CIT(A) in view of the explanation of the assessee wherein a sum of ₹ 90,000/- has been received vide cheque from Shri Gulshan Arora, who in turn has confirmed the same. The balance ₹ 40,.000/- is claimed by the assessee to have been deposited in cash out of the cash available, which is evidenced by the entries in the cash book.- Decided in favour of assessee
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