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2021 (7) TMI 718 - Income Tax
Addition on account of unaccounted commission paid for obtaining accommodation entry - addition u/s. 69C on the presumption that the assessee had paid commission in order to obtain accommodation entries - HELD THAT:- When the addition made for obtaining accommodation entries itself is deleted then there cannot be any scope for sustaining the addition made on the presumption that the assessee would have incurred commission expenditure for obtaining such accommodation entries.- we do not have any hesitation to delete the addition made by the Ld. AO on this issue which is omitted to be adjudicated by the Ld. CIT (A). Accordingly, addition made by the Ld. AO on the presumption that the assessee would have incurred commission expenditure for obtaining accommodation entries is hereby deleted.
Addition u/s 69B - on-money transaction - assessee company has paid on-money to the sellers of the property and added to the income of the assessee invoking the provisions of section 69B - HELD THAT:- We cannot conclusively agree on the finding of the Ld. Revenue Authorities that the assessee has paid on-money to the sellers of the property because the two evidence relied by the Ld. Revenue Authorities viz., the data retrieved from the Pen-drive and the admission by the vendors of the property though may have a persuasive value but will not have much substantive evidentiary value in order to make additions in the hands of the assessee. Therefore, in the interest of justice, we hereby direct the Ld. AO to delete the addition made in the hands of the assessee towards on-money paid for the purchase of the residential property.