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2020 (11) TMI 447 - ITAT MUMBAIAddition u/s 68 - unexplained cash credit - addition towards share application and share premium received - AO came to a conclusion that assessee has no explanation to offer and presumed that these 13 investors are not willing to be examined in person and for the want of some identity of the shareholders of the assessee can not be ascertained and finally made the addition to the income of the assessee - whether the ingredients under section 68 of the Act namely identity, creditworthiness of the parties/investors and genuineness of the transactions were satisfied or not.? - HELD THAT:- The details of the investors have been given hereinabove while narrating the facts of the case. In the present case, the AO in order to verify these investments issued commission to DDIT (Inv.) Wing Kolkata under section 131(1)(d) of the Act besides calling upon the assessee to furnish the evidences and documents proving the investments in share capital by the various investments. The assessee filed before the AO various evidences comprising copies of bank statements of these investors evidencing the payments through banking channel, confirmations from the investors, copies of ITRs and balance sheets of the investors along with share application forms and share certificates. The DDIT (Inv.) Wing Kolkata also issued notices to these 13 investors and required their presence. - none appeared but they filed their replies furnishing therewith copies of balance sheets, bank statements, share certificates and confirmations. The DDIT(Inv) finally submitted the report to the AO citing all these facts. See ORISSA CORPORATION PVT. LIMITED [1986 (3) TMI 3 - SUPREME COURT] and LOVELY EXPORTS (PVT) LTD [2008 (1) TMI 575 - SC ORDER] and M/S. AMI INDUSTRIES (INDIA) P. LTD. [2020 (2) TMI 269 - BOMBAY HIGH COURT] Once the assessee has filed the necessary evidences to prove identity, creditworthiness and genuineness by proving sources of investments, then the onus on the assessee is fully discharged and it is for the department to prove to the contrary. We have also perused the case laws relied upon by the Ld. D.R. but found that the same are not applicable to the facts of the present case. - Decided in favour of assessee.
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