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2018 (2) TMI 2083 - ITAT MUMBAIAssessment u/s 153A - unexplained credit in HSBC Bank - HELD THAT:- In the instant case, the return of income for the AY 2006-07 was filed by the assessee on 31.07.2006 declaring total income - AO completed the assessment u/s 143(3) on 14.07.2008 arriving at the same income as disclosed by the assessee. Department conducted the search and seizure action u/s 132 in the premises of the assessee on 22.02.2011. We find that in the original assessment completed by the AO u/s 143(3) that the assessee filed the details called for. We find of the assessment order passed u/s 153A r.w.s. 143(3) that during the course of assessment proceedings pursuant to search, the AO asked the assessee to produce the bank statement for the year under consideration. It was not seized during the course of search. In Continental Warehousing Corporation [2015 (5) TMI 656 - BOMBAY HIGH COURT] it is held that finalized assessment/reassessment shall not abate. Only undisclosed income and undisclosed assets detected during search could be brought to tax in respect of those years. As the assessment for the AY 2006-07 was already finalized by the AO by making the assessment u/s 143(3) dated 14.07.2008, following the above decision of the Hon’ble Bombay High Court, we delete the addition confirmed by the Ld. CIT(A). Disallowance u/s 2(22)(e) as deemed dividend - HELD THAT:- It is agreement by choice. In the present case it is tinged heavily with personal disputes. In the instant case, the assessee had received Rs.2,50,00,000/- from ISSCPL in which he was having 50% shareholding. Also ISSCPL is not a party to the consent term dated 15.12.2009. The present factual matrix is to tested on the anvil of the aforesaid enunciation of law. Examined on the touch-stone of the afore-noted legal principles, we confirm the order of the Ld. CIT(A) restricting the disallowance u/s 2(22)(e) to the accumulated profit as on 15.12.2009 of Rs.1,66,80,010/-. Unexplained jewellery - streedhan of assessee’s wife - Scope of CBDT Instruction No. 1916 of 11.05.1994 - HELD THAT:- We are of the considered view that the Ld. CIT(A) has rightly confirmed an addition and deleted the balance addition on the basis of the CBDT Instruction No.1916. We uphold the same. Corporate credit card expenses - allowable business expenses OR personal expenses - HELD THAT:- Having perused the relevant materials on record, we agree with the Ld. CIT(A) that the AO has made adhoc addition without bringing out the instances of expenditure which are personal in nature. Since the said expenditure was incurred by the assessee on behalf of the company in which he was the Director, the Ld. CIT(A) has rightly deleted the disallowance made by the AO.
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