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2019 (6) TMI 85 - AT - Income TaxAddition u/s 69 - unexplained investment - investment not recorded in the books of account - Assessee had received advances from the seven parties against the sale of the proposed developed property - HELD THAT:- During the course of appellate proceedings, the assessee came up with his explanation that the advances were received by him from seven parties against sale of property and the same were utilized for giving loan to M/s. Winner Garments Pvt. Limited. Although this explanation of the assessee was supported by documentary evidence in the form of sale agreement, there were various discrepancies and anomalies in the claim of the assessee as found by the Assessing Officer during the course of remand proceedings and as specifically recorded by the ld. CIT(Appeals) in his impugned order. During the course of remand proceedings, only four of the seven parties appeared before the Assessing Officer for examination/verification and as found by the Assessing Officer, they were not having capacity or creditworthiness to give the advances to the assessee in cash as claimed. It is observed that specific adverse findings/observations were recorded by the Assessing Officer in the remand report as well as by the ld. CIT(Appeals) in his impugned order to doubt or dispute the claim made by the assessee of having received the advances in question in cash from the concerned seven parties. At the time of hearing before us, the ld. Counsel for the assessee has not been able to bring anything on record to rebut or controvert these adverse findings recorded by the Assessing Officer as well as by the ld. CIT(Appeals). He has only harped on the documentary evidence filed by the assessee in the form of sale agreements and the confirmations of the four creditors as made before the Assessing Officer during the course of remand proceedings. In the present case, investment in the form of loan given to M/s. Winner Garments Pvt. Limited was found to be made by the assessee in the financial year immediately preceding the assessment year under consideration and since the said investment was not recorded in the books of account of the assessee and the explanation offered by him about the nature and source of the said investment was not found to be satisfactory, the addition made by the AO u/s 69 was fully justified and there is no infirmity in the impugned order of the CIT(Appeals) in confirming the same. - Decided against assessee.
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