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2022 (7) TMI 331 - AT - Income TaxAssessment u/s 153A - Addition u/s 69C - basis of the addition was a statement of Shri Pradeep Kumar Jindal recorded on oath u/s 132(4) of the Act wherein he admitted to providing accommodation entries to Shri Anand Kumar Jain, HUF and his family members and the entries found in the incriminating material - HELD THAT:- The basis of assessments are alleged incriminating material found from Shri Pradeep Kumar Jindal, which incriminating material/information may have belonged to the appellants and its group companies. In our considered opinion, in such a situation, the Legislature has provided section 153C in the Statute to frame the assessment. If the Assessing Officer frames the assessment without resorting to the dedicated section provided by the legislature, the whole exercise of enacting such a provision would become futile. Similar was the fate of members of the family, namely Shri Anand Kumar Jain, HUF, Individual, Shri Satish Dev Jain. In their respective cases also, under similar circumstances, assessment was framed u/s 153A r.w.s 143(3) of the Act. In their cases also, basis of the addition was a statement of Shri Pradeep Kumar Jindal recorded on oath u/s 132(4) of the Act wherein he admitted to providing accommodation entries to Shri Anand Kumar Jain, HUF and his family members and the entries found in the incriminating material. The quarrel travelled upto the Hon'ble High Court of Delhi [2021 (3) TMI 8 - DELHI HIGH COURT] Facts being identical, basis of addition are also similar and the assessees considered by the Hon'ble High Court are members of same group. Therefore, respectfully following the aforementioned judgment of the Hon'ble Jurisdictional High Court of Delhi, we have no hesitation in quashing the captioned assessment orders and decide the appeals in favour of the assessees. Addition based upon some loose sheet found at the time of search from the premises of Indo Autotech Ltd. - As explained hereinabove, first the Assessing Officer proceeded by treating the entries as unexplained expenditure and sought explanation from the assessee. Then the Assessing Officer took the view that the assessee has made investments and sought clarification from the assessee, and without any further ado, he made the addition as accommodation entries received by the assessee. The conduct of the Assessing Officer is not only uncertain but full of jigsaw puzzles. As no concrete evidence has been brought on record to justify the addition, we have no hesitation in deleting the same. Accordingly, the captioned assessment orders are quashed following the judgment of the Hon'ble Jurisdictional High Court of Delhi [supra]. Appeal of assessee allowed.
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