TMI Blog2020 (12) TMI 11X X X X Extracts X X X X X X X X Extracts X X X X ..... -business transactions are few and mostly are through journal entries and not receipts/payments. As facts being the same, respectfully following the order of CIT(A) for A.Y.2014- 15 and that of ITAT for A.Y2014-15, it is held that no direct or indirect benefit is derived by the appellant warranting addition u/s 2(22)(e). - Decided in favour of assessee. - I.T.A.No.334/Viz/2019 - - - Dated:- 23-11-2020 - Shri V. Durga Rao, Judicial Member And Shri D.S. Sunder Singh, Accountant Member For the Appellant : Shri D.K.Sonowal, CIT, DR For the Respondent : Shri G.V.N.Hari, AR ORDER PER SHRI D.S.SUNDER SINGH, ACCOUNTANT MEMBER : This appeal is filed by the revenue against the order of Commissioner of Income Tax (Appeals ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... vance for goods except accepting the loans from the company which required to be brought to tax u/s 2(22)(e) of the Act. Similar addition was also made by the AO for the A.Y.2014-15 in the hands of the assessee. The AO called for the explanation of the assessee and the assesse explained that the entire transactions were trade transactions and duly accounted in the books of assessee as well as M/s VEPL. The assessee further submitted that the transactions were related to purchase of gold plan schemes. The assessee is collecting monthly subscriptions from the subscribers under gold purchase scheme and after completion of the instalment period, HUF gives closure form to its subscribers and refers the customers to redeem their deposit with M ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sed on from the company to the appellant. In reality, neither loans nor advances have been given by the company to the appellant. What were transferred are the trade payables as well as receivables. By this transaction there is no benefit direct or indirect derived by the appellant and the Assessing Officer is not correct in stating that the appellant HUF is deriving the befit out of the entries to the extent of ₹ 1,51,39,860/-. Accordingly, the Assessing Officer is directed to delete the addition 5.4. The ITAT, Visakhapatnam Bench, Visakhapatnam vide order dated 21.08.2018, for the A.Y.2014-15 has held as under: 18. We have heard both the parties and perused the material plated on record. from the assessment order it is f ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and mostly are through journal entries and not receipts/payments. As facts being the same, respectfully following the order of CIT(A) for A.Y.2014- 15 and that of ITAT for A.Y2014-15, it is held that no direct or indirect benefit is derived by the appellant warranting addition u/s 2(22)(e). The addition accordingly, is deleted. 4.0. Against the order of the Ld.CIT(A), the department is in appeal before us. 5.0. We have considered the rival contentions and find that the Ld.CIT(A) deleted the addition following the order of this Tribunal in the assessee s own case for the earlier assessment year 2014-15 on identical facts. The relevant part of the order of the ITAT was extracted by the Ld.CIT(A) in para No.5.4 of his order which ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
