2025 (1) TMI 1276

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..... OJ KUMAR AGGARWAL (ACCOUNTANT MEMBER) 1. Aforesaid appeal by assessee for Assessment Year (AY) 2018-19 arises out of the order of learned Commissioner of Income Tax, National Faceless Appeal Centre (NFAC), Delhi [CIT(A)] dated 30-05-2024 in the matter of an assessment framed by Ld. Assessing Officer [AO] u/s. 143(3) of the Act on 15-04-2021. The grounds taken by the assessee are as under: - 1. .....

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..... to appreciate that the impugned creditors regularly maintained their regular books of accounts, that the transactions were carried through the banking channels, that it had nothing to do with the returns of income as such and hence the addition sustained is untenable in law. 6. The CIT(A) further failed to appreciate that in the absence of action in terms of section 269SS, the genuineness of tra .....

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..... ded. These parties reflected petty income in their respective ITRs in comparison to loans advanced by them. Accordingly, Ld. AO held that these entities lacked creditworthiness. Further, there were cash deposits in the accounts of the three parties on the same date when the loans were advanced to the assessee. The assessee could not explain the sources of loan. Accordingly, the aforesaid amount wa .....

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..... tabulation in the impugned order, it could be seen that in most of these 12 cases, the assessee has not filed copy of ITR. In few cases, ITRs have been filed but the income is not commensurate with the loans granted by the lenders to the assessee. Therefore, the creditworthiness of these creditors could not be established by the assessee. The Ld. AR has stated that source of source could not be e .....

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..... SS. Therefore, these arguments stand rejected. Considering the fact that the assessee has failed to discharge the onus of establishing the creditworthiness of the 12 parties, we provide another opportunity to the assessee to substantiate the same before Ld. AO. Accordingly, the issue of impugned addition of Rs. 36.50 Lacs stand restored back to the file of Ld. AO for fresh consideration with a dir .....

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