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2021 (10) TMI 779 - AT - Income TaxAddition u/s 68 - unsecured loan - unexplained cash credit - addition made as no proof to identity, creditworthiness and genuineness of the transactions - HELD THAT:- The said loans have been received by the assessee by way of either account payee cheque or RTGS and the assessee has also paid interest to the creditor as well. The assessee has also cleared off by making repayment of the loans and advances received from the aforesaid four parties in the subsequent assessment year hence, in our view, the AO was indeed not justified in making the addition on account of unsecured loan as unexplained under section 68 - notice from the aforesaid which becomes clear that the assessee has discharged the primary onus by proving the identity of the creditor, genuineness of the transaction as well as the creditworthiness of the creditors. The loan so obtained was not only reflected in the respective books of account and also bank statements - We are of the view that Commissioner (Appeals) was justified in deleting the addition made by the AO. Consequently, we uphold the order of the learned CIT(A) by dismissing the grounds of appeal raised by the Revenue.
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