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2019 (8) TMI 725 - AT - Income TaxAssessment u/s 153A - addition u/s 68 made alleging accommodation entries based on Inv. Wing report - absence of any incriminating documents found during the course of search in case of the assessee company - HELD THAT:- On perusal of the assessment order itself, we are of the view that the assessee deserves to succeed in the matter. The reason for the same is evident from the “Office note” which forms part of the assessment order and which has been submitted by the Revenue before the Bench as part of the appeal documentation. Assessing Officer has given a finding that on verification of documents submitted by the assessee and called from the investor companies, it is found that the amount of investment agrees with the balance reflected in the books of the assessee as well as investors companies. We therefore find that the assessee company has duly discharged the initial onus cast on it u/s 68 and once initial onus has been satisfied by the assessee company to the satisfaction of the AO and once the AO is satisfied with the documentation so submitted by the assessee company and which has also been confirmed by him directly from the investor companies, we failed to understand as to why in the body of the assessment order, he has merely proceeded basis the information received from the Investigation Wing, Mumbai in respect of search and seizure operation in case of Sh. Praveen Kumar Jain Group and has kept silent on the documentation and verification so carried out by him in respect of direct evidences so submitted by the assessee company. In the instant case, we find that the assessee has originally filed its return of income on 10.10.2007 and time limit for issuance of notice u/s 143(2) has expired on 30.09.2008 before the date of search which was carried out on 26.09.2012. Therefore, on the date of search, the assessment for the impugned assessment year was not pending/abated and already stood completed. Further, on perusal of the assessment order, we find that there is no discussion or finding by the Assessing Officer that any incriminating document was found during the course of search relating to the investment made by any of these companies in the assessee company, rather the whole basis of assessment is the information received from the Investigation Wing, Mumbai during the course of assessment proceedings. Therefore, in absence of any incriminating documents found during the course of search in case of the assessee company, the law is well settled that no addition may be made in the hands of the assesse company. The decision of the Hon’ble Delhi High Court in case of Meeta Gutgutia [2017 (5) TMI 1224 - DELHI HIGH COURT] , the Hon’ble Gujarat High Court in case of Saumya Construction (P.) Ltd [2016 (7) TMI 911 - GUJARAT HIGH COURT] and Jai Steel (India) ACIT [2013 (6) TMI 161 - RAJASTHAN HIGH COURT] support the case of the assessee company. - Decided against revenue
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