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2024 (3) TMI 100 - AT - Income TaxRevision u/s 263 revising assessment framed u/s 144 - unexplained cash credit addition - as per CIT conclusion taken by the AO to assess the income at the rate of 1.5% as commission income attracts the provision of Section 263 as the entire amount of credits in the bank account should have been added as unexplained cash credit - HELD THAT:- We observe from the assessment order that though the assessee did not appear before the AO however, the AO while framing the assessment has taken a possible and plausible view on the basis of bank statement that was available before the AO and recorded a clear cut finding that the assessee is acting as an accommodation entry provider/pass through entity and whatever money is received in the bank account is immediately transferred out to various parties and therefore came to a conclusion that a commission at the rate of 1.5% would be reasonable to be assessed as income and accordingly the assessment was framed. AO has taken a view which cannot be said to be incorrect on the basis of facts available nor is against any provisions of the Income Tax Act, 1961. AO has taken a possible view by applying and assessing the income at 1.50% of total credits in the bank account and the ld. Pr. CIT is not allowed to substitute his view in place of AO’s view for the reason that he does not agree to AO’s view. The case of the assessee is squarely covered by the decision of Gabriel India Ltd. (1993 (4) TMI 55 - BOMBAY HIGH COURT]. Taking into account these facts and circumstances and the ratio laid by various High Courts, we are inclined to quash the order passed by the Pr. CIT u/s 263 of the Act. Decided in favour of assessee.
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