TMI Blog2021 (3) TMI 317X X X X Extracts X X X X X X X X Extracts X X X X ..... s not offered to tax, is factually incorrect. On facts, he records that the assessee has not claimed expenses relating to dubbing, post production and production of first censor copy. Thus, he held that even going by the matching principle, the income recognised by the assessee during the year is correct. No infirmity in this factual finding of the ld. CIT(A). The income to the extent contract work is done has been recognised by the assessee. Thus, we uphold the order of the ld. CIT(A) on this issue and dismiss this ground of the Revenue. Bogus sundry creditors - CIT-A deleted the addition - HELD THAT:- CIT(A) has recorded the fact that Shabnam Parvez Khan has issued a confirmation letter - a finding of fact that the assessee has fu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ature films. It filed its return of income on 29.09.2012 declaring total loss of ₹ 4,57,84,649/- for the AY 2012-13. The AO completed the assessment u/s 143(3) of the Act on 25.03.2015 after selection of this case for limited scrutiny, and determined the total income at ₹ 6,79,35,382/- inter alia making an addition of ₹ 2,05,85,184/- on the ground that the assessee has failed to declare his full income from production of feature film Shoe Bite under agreement dated 21.11.2007 with UTV Motion Pictures (Mauritius) Ltd. (UTV) and also an addition of ₹ 15,65,549/- as bogus sundry creditors being amount payable to Shabnam Parvez Khan. Aggrieved, the assessee carried the matter in appeal. The first appellate authority de ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 0 shooting days of the film. ₹ 0.95 crores on completion of the shooting production of the film. ₹ 0.95 crores on completion of the dubbing of the film. ₹ 0.95 crores on delivery of the 1st censor copy of the film. 5.2. On completion of the shooting production of the film, there was a dispute between UTV Motion Pictures (Mauritius) Ltd. (UTV) and the 20th Century Fox USA with respect to intellectual property rights relating this feature film Shoe Bite . Because of this dispute, there was no further progress in this project. The assessee had declared income up to the stage of completion of the shooting production of the film. The AO was of the view that the income receivable by the assessee on the completion o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n of ₹ 15,65,549/- on account of bogus sundry creditors. The ld. CIT(A) has recorded the fact that Shabnam Parvez Khan has issued a confirmation letter, a copy of which is extracted at page 16 of his order. The ld. CIT(A) further records a finding of fact that the assessee has furnished copies of bills, as well as ledger accounts which were sent to the AO and that the AO has not commented adversely. Thus, on facts, he held that Shabnam Parvez Khan performed work of a casting coordinator and that proper bills have been raised on the assessee company. He held that this is a genuine transaction and deleted the addition. We find no infirmity in this factual finding of the ld. CIT(A). Hence, we do not interfere in this order. Thus, we dism ..... X X X X Extracts X X X X X X X X Extracts X X X X
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