2021 (5) TMI 143 - ITAT DELHI - Income Tax

Head Note / Extract:
Addition u/s 68 - advance received by crossed account payee cheque - HELD THAT:- The assessee from their side reproduced the relevant details and documents to prove the identity, genuineness and creditworthiness of the loan party and the transactions. Since, the amount has already been paid, the assessee could no more exert any influence on the loan party. At the same time, the assessee can be said to have discharged his primary onus with regard to the advance. There was no information with the AO before or during the assessment proceedings to point out any suspicion with regard to the deposit and its sources either in the form of cash deposits or any other enquiries conducted. The addition has been made merely on the grounds that there was no compliance from M/ s Kakade Stone Crusher to the notice issued u/s 133(6). We have also gone through the judgment relied upon by the ld. CIT (A) while confirming the addition. We find that the judgment has been delivered while dealing with the question of genuineness of the huge premium paid on the shares. The addition was confirmed owing to presence of abundant corroborative evidences which is not show in the instant case. Having gone through the entire factum of the case, we hereby hold that the addition made by the AO cannot be sustained as the assessee has discharged the primary onus casted upon them and the revenue has not brought on record to treat the amounts u/ s 68 . Disallowance on account of architect fees - Before us, it was submitted that the architect fee has been paid owing to rendering of services regularly on monthly basis for project management consultation to the management of the company. The Architects are engaged to manage the property of the assessee and are paid for monthly charges as professional fee - DR argued that the assessee is receiving only rental income against which it is claiming standard deduction and interest on borrowings - HELD THAT:- We find that the assessee is receiving rental income against which interest and others statutory deduction are claimed and hence no other deduction on account of maintenance charge or any other nomenclature is not an allowable deduction. Appeal of the assessee on this ground is dismissed. Income from house property - disallowance of interest paid on loan raised for construction of the school building and computation of ALV @ 8% of the total of the land and building - HELD THAT:- Since, the matters stands squarely covered by the earlier order of the case of the assessee [2018 (6) TMI 1280 - ITAT DELHI] in the absence of any material change in the facts of the case, the addition made by the revenue is hereby directed to be deleted.