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2024 (2) TMI 1331 - ITAT RAIPURAddition u/s 68 - unexplained cash credit - capital contribution in cash by the partners - Addition in the hands of firm v/s partners - As per AO Assessee has not furnished any supporting document like bank statement of the partners from where the cash amount have been withdrawn or any corroborative evidence to explain the source and nature of the cash so deposited - HELD THAT:- Since the partners have substantial returned income to the tune of Rs. 24.45 Lac and Rs. 24.00 lac, who have made the capital contribution of Rs. 14.50 lac and 10 lacs, thus, the identity and creditworthiness of such partners cannot be doubted. If the Ld. AO was not convinced with the source of amounts deposited by the partners, then such addition could have been made in the hands of such partners by invoking the relevant provisions of law but no addition was called for in the case of assessee firm, who have discharged its primary onus u/s 68 by providing the details of the partners from whom such funds were received. Thus the addition made by the Ld. AO and affirmed by the Ld. CIT(A) w.r.t. capital contribution in cash by the partners cannot be sustained in the hands of assessee firm. Our decision is supported by various judgments relied upon by. Ground no. 1 of the present appeal is decided in favor of the assessee.
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