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2018 (1) TMI 974 - AT - Income TaxAddition u/s 68 - genuineness of the transaction - bifurcation of sum of ₹ 1.80 crores [in the name of various parties] in short time for obtaining the sand contract from the Government. - Held that:- 7/12 extracts furnished by the assessee could never demonstrate conclusively that the lands belong to the individual payees and the income is actually earned by them which formed the source of making of cash payments to the assessee. Leave alone the bills evidencing the fact of conducting agricultural operations on the said lands, the payees has no evidence to show the fact of earning the Agricultural income by way of the sale bills for earning of the agricultural income. We also perused the said extracted portions of the order of the AO as well as the order of CIT(A) and find the reasoning given by them is one possible view. Assessee needed a sum of ₹ 1.80 crores in short time for obtaining the sand contract from the Government. Based on the principle of probability, we find it most likely that the assessee had to use the names of the 45 payees for mobilising the said amount - Creation of cash books/records for all the 45 payees and recording the each cash transactions at the rate of ₹ 20,000/- per day, non exclusion of the weekends and Sundays too comments the hurriness of the assessee. It is undisputed fact that the payees are not assessed to tax at that time or at the time of assessment or now. The assessee failed to show up all the payees before the AO. Therefore, we confirm the conclusions drawn by the AO/CIT(A) at the relevant point of time. It is the settled law relating to provision of section 68 that the assessee is under obligation to discharge all the conditions specified in the said section cumulatively to the AO. As such, the entries in the books of account are not determinative. - Decided in favour of revenue
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