TMI Blog2014 (12) TMI 395X X X X Extracts X X X X X X X X Extracts X X X X ..... agriculturists and they do not require any filing of returns of income and that is the reason they did not have PAN number - The Tribunal considered the minute details that were gone into by the CIT(A) and the explanation given by the assessee company that the entire loan amount was a genuine transaction - assessee had given plausible explanation for having taken a loan for a sum of ₹ 37.00 lakhs, for which, the assessee had produced evidences to prove the creditworthiness and genuineness of the transaction - the assessee had fulfilled the requirements u/s 68 – as such no substantial question of law arises for consideration – Decided against revenue. - Tax Case (Appeal) No.968 of 2014 - - - Dated:- 3-12-2014 - R. Sudhakar And R. K ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ubmitted the names and addresses of the six creditors, but did not provide their PAN numbers. Following are the persons from whom the loan amounts were obtained by the assessee company. S.No. Name Amount Rs. 1 Shri N.Chinnanadar 9,00,000 2 Smt S.Lingam 16,00,000 3 Shri S.Murugesan 3,00,000 4 Shri B.Ramamoorthy 3,00,000 5 Shri S.Esakkippan 3,00,000 6 Shri M.Murugesan 3,00,000 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the case of Mr.B.Ramamoorthy: (i) Notarised affidavit of Mr.B.Ramamoorthy (ii) Agricultural cultivation income certificate for ₹ 1,02,000 per annum issued by VAO, Pazhavoor (iii) Copies of chitta patta issued by Officer of Radhapuram taluk (e) In the case of Mr.S.Esakkiappan (i) Notarised affidavit of Mr.B.Ramamoorthy (ii) Copy of lease agreement between Esakkiappan and Rajeswaran S/o Duraisamy Nadar and patta of Duraiswamy Nadar (iii) Copy of patta of Esakkiappan (f) In the case of Mr.M.Murugesan: (i) Notarised affidavit of Mr.M.Murugesan (ii) Copy of lease agreement between Mani (father of M.Murugesan and Jayaraj) (iii) Agricultural cultivation income certificate for ₹ 2 lakhs per annum issue ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... re, the identity of the creditors could not be disputed. The only difficulty appears to be that some of them do not have PAN numbers, but that by itself should not be a reason to discredit their creditworthiness. The Tribunal was of the view that all the creditors are agriculturists and therefore, they do not require any filing of returns of income and that is the reason they did not have PAN number. The Tribunal considered the minute details that were gone into by the Commissioner of Income Tax (Appeals) and the explanation given by the assesseecompany that the entire loan amount of ₹ 37.00 lakhs was a genuine transaction. Hence, the Tribunal dismissed the appeal filed by the Revenue holding as follows: In the given facts and cir ..... X X X X Extracts X X X X X X X X Extracts X X X X
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