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2010 (2) TMI 10 - DELHI HIGH COURTUnexplained loans - The Assessing Officer had made an addition of, inter alia, the said sum of Rs 57 lacs on account of unexplained loans and had also disallowed interest thereon amounting to Rs 7,41,000/-.- The Assessing Officer had objected on two counts. The first objection was that the loan of Rs 57 lacs taken from M/s Sri Ram & Company was not reflected in the balance sheet of the assessee. The second objection was that the assessee had not produced the bank statement of M/s Sri Ram & Company. As against this, the assessee had pointed out before the Commissioner of Income Tax (Appeals) as well as before the Income Tax Appellate Tribunal that it had discharged its burden inasmuch as it had produced the required documentary evidence in the form of (i) confirmation letter from M/s Sri Ram & Company giving all the relevant details such as name, address, permanent account number etc.; (ii) the income tax return of M/s Sri Ram & Company; as well as (iii) the balance sheet of the said party. – held that - With regard to the objection of the Assessing Officer that the bank statement of the party had not been supplied, the Tribunal observed that in view of the other overwhelming documents given by the assessee, it was clearly established that the loan was genuine and that the creditworthiness also stood established by the other documents on record – decided in favor of revenue.
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