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2019 (10) TMI 719 - ITAT DELHIAddition u/s 68 - share application money received - unsecured loan received - HELD THAT:- So far as the amount of share application money received from M/s. Purushotam Vinnimay P. Ltd. is concerned we find neither the assessee nor the revenue authorities have the benefit of the decision of Hon’ble Supreme Court in the case of NRA Ispat [2019 (3) TMI 323 - SUPREME COURT] and decision of the Hon’ble Delhi High Court in the case of NDR Promoters [2019 (1) TMI 1089 - DELHI HIGH COURT] which specifically deal with the issue of share application money received from the companies which do not show sufficient income in the return of income filed by them. We, therefore, deem it proper to restore the issue of share application money received from M/s. Purushotam Vinnimay P. Ltd. to the file of the AO for fresh adjudication of the issue in the light of the decisions cited (supra). The AO shall decide the issue in accordance with law after giving a reasonable opportunity of being heard to the assesse. Amount received from M/s. Raffle Mercantile Private Limited - various details filed by the assessee as per paper book that the money was given by Raffle Mercantile Private Limited towards share application money whereas the addition has been made on account of unsecured loan. Further as stated by the Ld. Counsel for the assessee the amount has been refunded in the assessment year 2014-15. The facts are not coming out clearly from the submission made by the assessee vis-a-vis the order of the AO and the CIT(A) as to whether the same is towards share application money or unsecured loan. A perusal of the page-18 of the paper book shows that Land Craft Developers P. Ltd. has issued 14,80,000/- equity share of ₹ 10/- each. Therefore, if the shares have been allotted, how this could be refunded in A. Y. 2014-15 needs verification. If the same is unsecured loan and if the same has been refunded to the lender during A.Y.2014-15 i.e. much prior the completion of the assessment, the same also needs verification at the level of the AO and in that case it cannot be added in the light of various decisions cited by the Ld. AR. The decisions of the Hon’ble Supreme Court in the case of NRA Ispat (supra) and NDR Promoters (supra) cited in the preceding paragraphs will also be equally applicable to the facts of the present issue - Thus restore the issue of unsecured loan received from Raffle Mercantile Private Limited to the file of the AO for deciding the issue afresh and as per fact and law after giving due opportunity of being heard to the assessee. Grounds raised by the revenue allowed for statistical purpose.
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