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TMI Blog2016 (8) TMI 1497X X X X Extracts X X X X X X X X Extracts X X X X ..... n account of accommodation entry provided by M/s. Bishan Chand Mukesh Kumar in whose case it was clearly established that this firm has not done any purchase and sale of jewellery but issued cheques in lieu of cash given by the assessee. ii. Any other ground that the appellant would raise during the course of appeal for amending, deleting, modifying or adding any other ground of appeal. 2. The reassessment in this case was completed under Section 147 r.w.s. 143(3) of the Income-tax Act, 1961 (for short "the Act") on 24th March, 2006 on the basis of information received from the Deputy Commissioner of Income Tax, Central Circle-III, New Delhi, that the assessee is a beneficiary of accommodation entries provided by M/s. Bishan Chand Muke ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... presentative, relying on the order of the Assessing Officer, submitted that in the assessment order of M/s. Bishan Chand Mukesh Kumar, it was clearly held that it was engaged in providing accommodation entries against certain commission amount of the assessee and the assessee was one of the beneficiaries of the said firm and, therefore, the addition made by the Assessing Officer might be sustained. 5. Earlier on 30.12.2015, the case was adjourned to 02.05.2016 on the written request of Revenue and both the parties were informed. On 02.05.2016, again on the written request of learned Sr. Departmental Representative, the case was adjourned to 10.08.2016, on which date, none was present on behalf of the assessee, and notice was issued to the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ure of such sale of jewellery. Purely on surmises and conjectures no transaction can be held as bogus unless the same is proved on the basis of sound reasoning and evidence. When the assessee has furnished all necessary proof in his support, it is all the more necessary to rebut such evidence with cogent and credible evidence. In the instant case to prove the sale is bogus, it is necessary to establish the fact that the assessee does not possess any jewellery to enter into sale transaction. It is an admitted fact that the assessee had made declaration under VDIS 1997 and the concerned CIT has issued a valid certificate u/s.68(2) of VDIS, 1997 to the effect that the assessee is owner of such jewellery. Unless and until such certificate is wi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... l as legal decisions relied on by the assessee, the addition made in the assessment order cannot sustain as per law and accordingly the same is directed to be deleted." 7. We find that in the case of Income Tax Officer Vs. Smt. Sunit Garg, in ITA No. 3988/Del/2006, pronounced on 28th April, 2007, identical ground of appeal was raised by the Revenue in respect of accommodation entry from M/s. Bishan Chand Mukesh Kumar, which is as follows: "(i) The learned CIT(A) erred in law and on the facts and in the circumstances of the case, by deleting the addition of Rs. 39,61,408/- made on account of accommodation entry provided by M/s. Bishan Chand Mukesh Kumar in whose case it was clearly established that this firm has not done any purchase and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er, Sri Bishan Chand, partner of M/s. Bishan Chand Mukesh Kumar was examined on oath by the Assessing Officer and Sri Bishan Chand had categorically stated that he had purchased the jewellery in question from the respondent assessee and had made the payment through bank draft. Assessment under the Delhi Sales Tax Act had also been made on the turnover and further, all the purchases and sales have been accepted by the Assessing Authority under the Income Tax Act while completing the assessment for the instant year under Section 143 (3) of the Act." 10. Respectfully, following the above decisions of the Hon'ble High Court of Allahabad and the Tribunal, we uphold the findings of the learned Commissioner of Income Tax (Appeals) on the issue i ..... X X X X Extracts X X X X X X X X Extracts X X X X
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