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2023 (10) TMI 1191 - ITAT SURATAddition u/s 68 - Unexplained loan - assessee's case was selected under complete scrutiny with various flagged parameters - CIT(A) deleted the addition - HELD THAT:- CIT(A) noted that assessee had produced the confirmation before the AO which was signed by the son of the assessee and the bank statement evidencing the debit in the account of the giver of the loan Mr. Ishwarbhai D Patel, who had expired on 20.11.2017 as per the death certificate filed and hence, nobody attended to the summons issued by the AO during the assessment proceedings. As decided in the case of CIT Vs Patel Ramniklal Hirji [2012 (8) TMI 1078 - GUJARAT HIGH COURT] that where the assessee received loan through account Payee Cheques and in support of loan transaction if he submits copy of books of accounts, bank statement, ITR of the lender, transaction in question was to be regarded as genuine and loan amount could not be added to assessee's taxable income u/s 68 - CIT(A) noted that from the above facts, the creditworthiness of the loan giver Late Ishwarbhai D. Patel has been established. The transactions in question are through banking channels wherein the loan has been received by the assessee through banking channels and even repaid subsequently through banking channels which proves the genuineness of the transaction. Hence, CIT(A) therefore deleted the addition made by the AO u/s 68 correctly - Decided in favour of assessee. Agriculture income - assessee has failed to submit, any sales bill and any other evidences to prove genuineness of the transactions - assessee received income from growing sugarcane, vegetables, mangoes, chickoos etc. The assessee had approximately 900 chickoo trees and 400 mango trees - CIT(A) deleted addition - HELD THAT:- The agricultural income offered by the assessee was accepted in scrutiny assessment of AY 2015-16 as evident from the copy of assessment order produced during the Appellate Proceedings. All these facts go to show that the assessee has agricultural land and is having agricultural income since several years which has been accepted by the Department. Having an agricultural income of Rs. 26,28,436/- for an agricultural land of about 30 acres seems to be quite reasonable and possible. CIT(A) deleted the addition made by the AO - We do not find any infirmity in the above findings of ld CIT(A) - Grounds of appeal of the Revenue are dismissed.
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