Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2023 (5) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2023 (5) TMI 995 - AT - Income TaxAddition u/s 68 - AO observed that unexplained money of the assessee brought into its business in the guise of share capital/share premium - HELD THAT:- AO found credits in the name of M/s. Pushpanjali Exports Pvt. Ltd. in the books of account of the assessee on different dates from 03.12.2011 to 15.12.2011. He asked for explanation as to the nature and source of the above credit entries. The explanation offered by the assessee was put to test. As not found satisfactory by the Ld. AO. We may refer to the decision in CIT vs. Precision Finance Pvt. Ltd. [1993 (6) TMI 17 - CALCUTTA HIGH COURT] wherein held that it is for the assessee to prove the identity of the creditor, his creditworthiness and the genuineness of transaction. Mere furnishing of particulars is not enough. Mere payment by account payee cheque is not sacrosanct nor can it make a non-genuine transaction genuine. For the cogent reasons recorded by the AO, he made the impugned addition u/s 68 which has been upheld by the Ld. CIT(A). We endorse the findings of the AO/CIT(A) and reject ground of the assessee.
|