9911796707
TMI Blog2012 (12) TMI 72X X X X Extracts X X X X X X X X Extracts X X X X ..... assessee is registered with the Stock Exchange Board of India (SEBI) as a sub account holder under the FII - 'Threadneedle Investment Fund ICVC Asia Fund' for carrying out investment activity in Indian market. During the course of the assessment proceedings AO asked assessee to reconcile the AIR data provided by the Bombay Stock Exchange (BSE) of various transactions reflected in assessee's name. A copy of the data was given to assessee and assessee was asked to reconcile the same. AO gave two weeks of time to reconcile the data just before the proposed draft order was finalised. It was assessee's contention that the transaction reported by AIR does not pertain to assessee and moreover the details furnished by the AIR do not indicate any sp ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sessee. It also filed letters from other brokers that they have no transactions in 'Steel Authority of India' shares on behalf of assessee. Assessee also placed the PAN Nos. of the other funds and relevant trades entered in on behalf of them by Threadneedle Asset Management Ltd on the given day and the reconciliation of transactions accounted by them, even though assessee is not involved in the transactions. It explained to the DRP that the AIR information stated to be belonging to assessee does not pertain to it. The DRP however, did not agree with assessee a) that the time provided by AO of two weeks is reasonable b) that assessee did not reconcile the transactions properly c) assessee did not plead for admission of additional evidence an ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 1 which was not considered by the DRP. A confirmation from Threadneedle Asset Management Ltd that the PAN of Threadneedle Investment Funds ICVC Asia Funds - AACCT 5709 L ( assessee) has not been used or quoted for executing any of the trades as mentioned in the AIR report. The details contained in AIR pertaining to the 'Power grid Corporation of India' shares have already been matched with the details in the tax return during the course of the assessment proceedings. Further it was also argued that the posting of case on 16.03.2011 by the DRP has not been communicated to assessee, therefore, there is no attendance before the DRP. It was submitted that the DRP did not give any opportunity to assessee nor examined the details filed before the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Rs. 11,32,38,770 was taken as investment by assessee and asked to reconcile. Assessee pleaded its inability to reconcile because it does not contain any details either of the scrip name or of the contract name or transaction No. of the BSE. This document of AIR simply informs that the tax filer address is BSE and the transaction pertains to the BSE. In the absence of any details assessee naturally could not reconcile the transactions. Therefore, the objection No.1 raised before the DRP that assessee was not given sufficient opportunity has to be upheld. (b) Before the DRP, assessee filed details obtained by writing to the BSE about these transactions which pertain to share of Steel Authority of India Ltd by M/s Credit Suisse Ltd. It ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ether the transaction is a purchase or sale. As mentioned earlier in both the places of transactions it is mentioned BSE Ltd, as the scrip transacted and the address of the person transacted. As far as the tax type AIR Txn Code 005 is concerned, assessee's PAN and address was clearly mentioned including Power Grid Corporation of India as name of the scrip. This scrip details were totally reconciled by assessee without any problem. However, the balance of the 64 transactions stated to be of assessee reported with same PAN No. and address could not be reconciled as there are no details of these transactions except the date and amount. whether these are purchase or sale transactions also could not be verified from AIR report. Without even exam ..... X X X X Extracts X X X X X X X X Extracts X X X X
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