2019 (2) TMI 1264

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..... O, Ward-1(3), Kolkata, ITO, Ward-11(2), Kolkata [ in short the ld AO] under section 143(3)/ 147/ 144 of the Income Tax Act, 1961 (in short "the Act") as the case may be, dated 05.06.2013, 28.03.2013 respectively for the Assessment Years 2005-06 , 2006-07 and 2007-08 respectively. As identical issues are involved in all these appeals they are taken up together and disposed off by this common order for the sake of convenience. 2. The first common issue to be decided in these appeals is as to whether the ld. CIT(A) was justified in deleting the addition made towards unexplained cash deposit made in the bank account of the assessee company in the hands of the assessee company and directing the ld. AO to add only commission @0.25%on the total t .....

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..... lar additions were made other assessment years also. The ld. CIT(A) observed that the assessee is only engaged in providing accommodation entries and hence the credits found in the bank account cannot be treated as income of the assessee and moreover, the directors of the assessee company are persons of no means and illiterates and that the possibility of the company's bank account being misused for routing illegal transactions cannot be ruled out. Accordingly, he held that the assessee company should be treated only as accommodation entry provider or pass through agent and only the commission attributable on the total deposits made in the bank account of the assessee (i.e. both cash and cheque deposits) should be brought to tax. The ld. CI .....

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..... cross objection preferred by the assessee is also remanded back to the file of ld. AO. Since de novo adjudication of this entire issue is directed to the file of the ld. AO, the assessee is given full liberty to adduce fresh evidences, if any, in support of its contentions. Accordingly, grounds raised by the revenue in this regard and grounds raised by the assessee in cross objection in this regard are allowed for statistical purposes. 6. The next common issue raised by the assessee in the cross objection is with regard to action of the ld. CIT(A) in upholding the addition made towards unexplained liabilities in the form of share application money, sundry creditors for all the three assessment years. 7. We have heard the ld. DR. We have .....

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