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2024 (2) TMI 750 - KERALA HIGH COURTAddition u/s 68 - creditworthiness of 17 lenders were found satisfactory but creditworthiness and genuineness of 11 lenders were not found satisfactory - addition as the income of the petitioner from unknown sources - HELD THAT:- From Ext. P1, it is evident that only the names of 22 persons were mentioned, from whom, the petitioner had taken fresh loan in the assessment year 2021-2022. However, the assessment order would mention that the petitioner had taken loan from 28 persons. The transaction of 5 persons were not put to notice to the petitioner for initiating its response. Unless and until the petitioner was not put to notice, in respect of the transaction of the aforesaid 5 persons, there was no occasion for him to give any response in respect of the proposed additions. Therefore we find to the extend of the addition of amount of loan advanced by the aforesaid 5 persons with the return of income of the petitioner under Section 68, is not in accordance with law and the same has vitiated, the assessment order impugned in the present writ petition to that extent. Present writ petition is disposed of, and the matter is remanded back to the assessing authority, to pass a fresh assessment order. The petitioner is directed to file his response / supporting documents in respect of the loan advanced by the 5 persons. The respondents are directed to activate the link with intimation to the petitioner for enabling the petitioner to file his explanation in respect of these 5 transactions only. It is made clear that no opportunity is given in respect of the other creditors and the remand is only in respect of the 5 creditors as mentioned above.
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