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2019 (10) TMI 974 - AT - Income TaxAddition u/s.68 - unexplained cash credit - HELD THAT:- Assessee is not able to discharge its burden as was cast u/s 68 of the 1961 Act . Thus, we have no hesitation in setting aside the appellate order passed by learned CIT(A) and confirm the additions to the tune of ₹ 3,13,90,000/- as were made by the AO, which addition now stood stand affirmed by us. Revenue succeeds on this issue. We order accordingly. Protective additions - Additions were made on protective basis based on statement of Director Mr. Jagdish Purohit that these accommodation entries were provided in lieu of commission income which was brought to tax by the AO as income computed @5% of amount of these accommodation entries. The assessee company is already held by us to be an entity engaged in providing bogus accommodation entries. Now coming to this addition towards commission income in lieu of providing accommodation entries. Firstly, these are estimates which certainly require some guess work but the said guess work should be an honest and fair guess work. We are not inclined to interfere in the estimation done by the AO while computing commission @5% of accommodation entry amount which was brought to tax by the AO, as in our considered view it is a reasonable and honest estimation made by the AO and cannot be said to be perverse estimation defying all cannons of commercial logics and reasoning. Secondly, the additions to the tune of ₹ 15,69,500/- were made on protective basis in the hands of the assessee and although we are confirming this addition also but at the same time we are remitting this issue back to the AO for limited verification as to the fate of this addition made on substantive basis and accordingly the AO shall decide about the sustainability of this addition of ₹ 15,69,500/-. Revenue also succeed on this ground as indicated above
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