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2019 (8) TMI 1062 - HC - Income TaxAddition u/s 68 - claim of the Appellant it is dealing with Moxdiam was not for accommodation entry, but a genuine loan transaction - HELD THAT:- It is now an admitted position that Moxdiam was indulging in accommodation entries. Majority of the activities of Moxdiam are of accommodation entries. It is the Appellant which seeks to assert a deviation from Moxdiam's regular activity of accommodation entry to contend that in Appellant’s case it was not an accommodation entry, but a genuine loan. The burden on the Appellant to show the genuineness of the entry was thus heavier than situation where no such established evidence regards the lender indulging into accommodation entries exists. Such a burden cannot be casually shifted as contended. Merely because certain entries have been shown in the books of accounts of Moxdiam, they cannot be held to be conclusive and must be construed in light of all surrounding circumstances. The genuineness of the loan transaction, financial capacity, and the surrounding circumstances are some criteria for determination in such matters. It is in this background that the claim of the Appellant it is dealing with Moxdiam was not for accommodation entry, but a genuine loan transaction, had to be tested by the authorities. Two authorities and the Tribunal have evaluated each piece of evidence to conclude that this transaction was not a genuine loan transaction. If the Tribunal has given more weight to some pieces of evidence vis-a-vis others, the conclusion is in the realm of assessment of the evidence. It cannot be said that the pieces of evidence relied upon by the Tribunal are irrelevant. The view taken by the Tribunal is thus on the assessment of evidence is not perverse, and merely because another view by re-appreciating the evidence is possible, it cannot give rise to a question of law as envisaged under Section 260A of the Income Tax Act. Tribunal has noted the decisions referred to by the Appellant and also by the Revenue. Following the principles laid down in the decisions in the case of CIT v. Durga Prasad More [1971 (8) TMI 17 - SUPREME COURT] and Sumati Dayal v. CIT [1995 (3) TMI 3 - SUPREME COURT] that the nature of the transaction will depend on facts and circumstances, the Tribunal rightly did not get weighed down by multiplication of decisions dealing with separate sets of fact. This approach adopted by the Tribunal would not lead to a substantial question of law as proposed by the Appellant.
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