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2023 (11) TMI 947 - HC - Income TaxAssessment of trust - corpus donation receipts - addition u/s 68 - corpus donation had been received by the petitioner-Company from entities as struck off the record of the registered companies and therefore, they had to be treated as shell companies - as donors’ identity was doubtful and the provisions of Section 115BBC of the Act were invoked - Tribunal, is justified in concurring with the findings of CIT (A) and in confirming the impugned income under the provisions of 115BBC, section 68 read with section 115BBE being perverse and against the statutory provisions. HELD THAT:- As the companies at West Bengal had sought to give the details of the donations from Mumbai and it was in such circumstances the Assessing Officer came to the conclusion that the explanation given was not bona fide. Opportunity was given to produce the Directors which was not done due to which the authorities below have noted that companies are no longer functional and are defunct and struck off by the Registrar of Companies. Nothing was brought on record that they were actually functioning at the time of donations and when they were struck off. In such circumstances, we are of the considered opinion that the genuineness, identity and creditworthiness of these companies was rightly doubted by the AO and in such circumstances, the additions had been made. The matter had also been taken before the Appellate Authority and the Commissioner had duly granted the benefit by thoroughly enquiring into the matter qua the other donations that had been received. The question of law thus which is sought to be framed does not arise keeping in view the above facts and circumstances as before the authorities the appellant could not produce sufficient material to dispel the suspicion which had been raised about the donations received from the companies which were not even based geographically close to the educational institution and the reason to grant the donation was never properly explained - Appeal dismissed.
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