TMI Blog2024 (2) TMI 397X X X X Extracts X X X X X X X X Extracts X X X X ..... reditor - ITAT deleted the addition - HELD THAT:- As it is clear that the additions u/s 41(1) were made for the differences which arose on account of only book entries. Admittedly, the assessee had actually made the payment in the later year and the party has accounted receipt in the same financial year which resulted into differences in the balance as added by the Assessing Officer. Since the di ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... order under section 143(3) of the Act was passed on 26.03.2015, making certain additions under Section 41(1) and 37(1), assessing total income at Rs. 54,75,83,938/-. 3. The Assessing Officer has observed that the assessee has shown credit in the name of M/s. Kabra Brothers for Rs. 71,29,78,695/-. However, in the books of M/s. Kabra Brothers, the closing balance was shown at Rs. 28,30,93,924/-. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... l Mr. Karan Sanghani for the revenue. He submitted that since the assessee failed in providing the document in relation to the genuineness of the transaction made with M/s. Kabra Brothers and as the closing balance was only to the tune of Rs. 28,30,93,924/-, the Assessing Officer has rightly made additions under Section 41(1) of the Act. 5. From the order of the CIT(A), it is noticed that the a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the subsequent financial year. However, the other party got these letter of credit discounted and received the payment which was adjusted against the account of the assessee. This fact can also be verified from the certificate issued by the party placed on page 98 of the paper book. Thus, the difference was arising only on account of book entries. The assessee actually made the payment in the late ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ounted receipt in the same financial year which resulted into differences in the balance as added by the Assessing Officer. Since the difference has been explained which was only on account of the book entries, in our considered opinion, there is no error in the order of the ITAT. 7. In view of the above, there is no substantial question of law which requires consideration by this court. Tax ap ..... X X X X Extracts X X X X X X X X Extracts X X X X
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