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2023 (1) TMI 912 - ITAT AHMEDABADRevision u/s 263 by CIT - unsecured loan transactions of the assessee - Unexplained cash deposits - HELD THAT:- Anomalies noted by the ld.Pr.CIT with respect to the unsecured transactions being demonstrated by the ld.counsel for the assessee to be non-existent, whatever verification the ld.Pr.CIT wanted to carry out, should have been done at his end only, and only thereafter, he could have arrived at a finding, whether the order of the AO was erroneous or not. In case, verification of the bank statements revealed that these transactions were not actually reflected in the bank account of these two parties, the contentions of the ld.Pr.CIT of error in the order of the AO, would then have been correct. But, if found otherwise, then there couldn’t be said tobe any error in the order of AO. Without carrying out the verification exercise itself, the ld.Pr.CIT clearly had no case for holding the assessment order to be erroneous on account of non-verification of the genuineness of these two unsecured loans. We hold that as far as anomaly noted by the ld.Pr.CIT, with regard to these two unsecured loans taken by the assessee from Kalpana Shah and Monali Shah on certain transactions relating to the said loans, not being reflected in their bank accounts, CIT has not arrived a conclusive finding of the error and has only restored the issue to the AO for verification that too when the assessee had clearly demonstrated the anomalies to be non existent. Therefore, with respect to these anomalies noted in the said transactions, there is no error in the order of the AO. Credit-worthiness of the Kalpana Shah not being established - The ledger account of the Kalpana Shah whichwas part of the books of accounts, and part of the record of the assessment also, clearly revealed that entire transaction with her related to amounts transferred to her by the assessee, and subsequently paid back by her to the assessee. Therefore, out of total amount of Rs.31,18,882/- noted by the ld.Pr.CIT to have been received by the assessee from Kalapan Shah, the source of Rs.29,61,194/- can be attributed to the amounts transferred by the assessee to her, which is evident from the copy of the ledger account also. It is only the difference of Rs.1,50,000/- which can be said to be credit given by the Kalpana Shah to the assessee, which we agree with ld.counsel for the assessee as too minor amount to invite exercise of revisionary jurisdiction by the ld.Pr.CIT for non-verification of the genuineness of unsecured loans received by the assessee from Ms. Monali Shah and Kalpana Shah, the assessee having clarified all anomalies noted by the ld.Pr.CIT in the said transaction with documentary evidences, and the Pr.CIT having accepted the same, but restoring the issue to the AO only for the purpose of verification. Also with respect to the credit-worthiness of Kalpana Shah, we have noted that net unsecured loans received from her is too minor an amount of Rs.1.5 lakhs to have invoked revisionary jurisdiction from the ld.Pr.CIT - Appeal of the assessee is allowed.
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