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2018 (8) TMI 377 - AT - Income Tax
Unexplained cash credit u/s 68 - proof of donation received - Held that:- In the present case, it is noticed that the assessee received a donation of ₹ 15,00,000/- from M/s Nav Jyoti Vikas Sansthan, Meerut vide cheque no. 084387 drawn on the Nainital Bank Ltd., Ghaziabad. The said cheque was signed by the Secretary of the Sansthan who also gave a confirmation letter. The said fact is evident from page no. 45 of the assessee’s paper book which is the copy of the cross examination on oath of Sh. Madan Giri who confirmed vide giving answer to question no. 3 that the donation was given to the assessee. It is also noticed that the assessee had shown the donation in its books of account. The said donation was utilized for construction of the building to be used for running of dental college setup in Village Dasna, Masuri to impart dental education. See COMMISSIONER OF INCOME TAX VERSUS M/S UTTARNCHAL WELFARE SOCIETY [2013 (9) TMI 965 - ALLAHABAD HIGH COURT]
Thus the assessee not only disclosed its donation but also produced confirmation from the Secretary of the trust who has given the donation through cheque. The said donation was utilized for charitable activities. Therefore, the addition made by the AO and sustained by the ld. CIT(A) was no justified and accordingly the same is deleted. - decided in favour of assessee.