TMI Blog2022 (11) TMI 193X X X X Extracts X X X X X X X X Extracts X X X X ..... property. Therefore, the observation of the AO that she had utilized sale consideration of property for purchase of another property and thus, source is not available for explaining unsecured loan is a misunderstanding or misreading of balance sheet. Therefore, we are of the considered view that the issue needs to be re-examined by the AO, on the claim of the assessee that she had introduced capital into her business out of her own source. Hence, we set aside the issue and direct the AO to re-examine the claim of the assessee after giving opportunity of hearing to the assessee. Unexplained investments towards unsecured loans given to husband - AO has made additions towards unsecured loan given to her husband u/s. 69A of the Act as ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... I.T.A.No.28/CIT(A)-7/2015-16 for the above mentioned Assessment Year is contrary to law, facts, and in the circumstances of the case. 2. The CIT (Appeals) erred in sustaining the addition of Rs.50 Lakhs representing the unsecured loan after rejecting the explanation offered in para 5.3.1 of the impugned order in the computation of taxable total income without assigning proper reasons and justification. 3. The CIT (Appeals) failed to appreciate that the assessment of the unsecured loan based on the said reasons was wrong, erroneous, unjustified, incorrect and not sustainable in law. 4. The CIT (Appeals) failed to appreciate that the evidence filed in support were wrongly construed and further ought to have appreciated that the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ting to Rs. 50 lakhs and unexplained investments towards unsecured loans given to her husband amounting to Rs. 19,32,780/-. The assessee carried the matter in appeal before the first appellate authority and the Ld. CIT(A) for the reasons stated in their appellate order sustained additions made by the AO. 4. The first issue that came up for consideration from ground no. 2 to 4 of assessee appeal is addition of Rs. 50 lakhs representing the unsecured loan u/s. 68 of the Act. The assessee has shown unsecured loan of Rs. 50 lakhs without specifying any name. The AO called upon the assessee to furnish necessary details of unsecured loan to prove genuineness and creditworthiness. In response, the assessee submitted that unsecured loan shown in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... unsecured loan represents her own capital introduced in the business and also the assessee has explained source for capital. The AO and CIT(A) without appreciating the facts simply sustained additions. 6. The Ld. Sr. DR for the revenue submitted that the AO has brought out facts to the effect that the assessee has not declared capital gain when the asset was sold. Further, though the loans have been received in earlier financial years, but the same has been unnoticed because the case was not selected for scrutiny and thus, the AO has rightly made additions and their orders should be upheld. 7. We have heard both the parties, perused materials available on record and gone through orders of the authorities below. As regards, the first ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... at the issue needs to be re-examined by the AO, on the claim of the assessee that she had introduced capital into her business out of her own source. Hence, we set aside the issue and direct the AO to re-examine the claim of the assessee after giving opportunity of hearing to the assessee. 8. The next issue that came for consideration from ground nos. 5 6 of assessee s appeal is addition towards unexplained investment with regard to the transaction with the assessee s husband amounting to Rs. 19,32,780/-. The AO has made addition towards unsecured loan claimed by the husband of the assessee Shri. Ramu amounting to Rs. 19,32,780/- on the ground that the amount is not appearing in the balance sheet of the asssessee. It was explanation of ..... X X X X Extracts X X X X X X X X Extracts X X X X
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