Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2022 (11) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2022 (11) TMI 1166 - AT - Income TaxAddition u/s 68 - Unexplained cash credit - assessee has failed to produce the alleged shareholders before the ld. AO for identity, creditworthiness and genuineness of the transaction - HELD THAT:- The assessee was asked to explain the cash credit received by it during the year. Assessee has failed to file necessary details to explain alleged cash credit and also unable to provide identity and creditworthiness of the cash creditors as well as genuineness of the transaction as per the provisions of law. The assessee has miserably failed to explain the source of alleged cash credit if the assessee has sufficient details to explain the alleged sum it could have certainly filed those details before the authorities below. The assessee consistently escaping from appearing before the ld. AO and the appellate authority plausible explanation to explain the source of alleged sum of share capital and security premium. If the assessee is unable to explain the alleged cash credit and consistent escaped, the provisions of section 68 are attracted. Thus, it is held that the assessee has routed its unaccounted income in the books of account in the form of share capital and security premium by arranging bogus share capital and share premium through accommodation entry provider. Therefore, we find no infirmity in the finding of the CIT(A) confirming the addition made u/s. 68 of the Act and the same is confirmed. Thus, instant grounds of appeal raised by the assessee are dismissed. Addition as undisclosed commission income from the share capital and share premium raised during the year - We after perusing the material available on record and findings of the authority below in respect of addition made by the AO on account of undisclosed commission income and same has been confirmed by the ld. CIT(A) in its order. We are of the considered view that since the assessee could not demonstrate any irregularity in the order passed by the AO at the time of hearing before the ld. CIT(A) and even before us also and the assessee completely failed to substantiate its claim before the authorities below, therefore, we find no infirmity in the findings of the CIT(A) on this issue and thus this ground of appeal is dismissed. The other grounds raised by the assessee are general and consequential in nature therefore need not required to be adjudicated.
|