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2020 (12) TMI 925 - ITAT MUMBAIAddition u/s.68 - unexplained cash credits and consequential disallowance of interest expenses on unsecured loans - Admission of additional evidence - HELD THAT:- As perusing the additional evidences furnished by the assessee, we are of the view that all these additional evidences furnished by the assessee in respect of the 16 creditors would go to the root of the matter of the addition made in respect of these unsecured loan creditors. Thus, in the interest of justice we admit these additional evidences and restore them to the file of the Assessing Officer for denovo adjudication of the addition made in respect of these creditors as these evidences were not produced before the AO. Thus, this issue of addition towards unsecured loans and the disallowance of consequential interest thereon is restored to the file of the Assessing Officer for deciding afresh. Correct head of income - interest received from partners - treated as “income from other sources” or income earned in the course of the “business” of the assessee - HELD THAT:- Department having accepted the treatment of the assessee in reducing interest from partners from work-in-progress in the immediately preceding assessment year and also in the immediately succeeding assessment year, we see no reason to reject the very same treatment given by the assessee for the interest received from the partners for the current Assessment Year i.e. A.Y. 2010-11. Therefore, applying principle of consistency we direct the Assessing Officer to delete the addition made under the head “income from other sources”. Ground of appeal is allowed.
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