9911796707
TMI Blog2014 (7) TMI 861X X X X Extracts X X X X X X X X Extracts X X X X ..... e basis of notional interest is not justified – the order of the CIT(A) is set aside – Decided in favour of Assessee. Contractual receipt on AIR information – Held that:- Addition has been made by the AO and the same confirmed by the CIT(A) solely on the basis of the AIR information to which the assessee has contradicted the statement earlier made - When the assessee has contradicted the AIR information, it is a duty of the authorities below to prove that the payment has been made to the assessee - thus, the matter is to be remitted back to the AO for fresh assessment – Decided in favour of Assessee. X X X X Extracts X X X X X X X X Extracts X X X X ..... confirmed by the Ld.CIT(A). Aggrieved by the impugned order, the assessee has raised this ground in the appeal before us. 2.2 Having heard both the sides and perused the material on record, it is noted from P & L Account that the assessee's company's own capital, reserve fund and interest free loans and advances are as under:- (i) Own Capital Rs.60,00,000/- (ii) Own Reserve & Surplus Rs.5,81,41,366/- (iii) Interest Free Loans received Rs.21,00,000/- (iv) Interest free advances received from customers Rs.64,65,378/- Total interest free fund Rs.7,27,06,744/- It is pertinent to note that during the assessment proceedings and first appellate proceeding, the assessee has taken a plea that the total interest free funds available to th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... or rendered any services to Mr. Praveen Desai and hence there is no question of receiving any payments from him. In this connection, the Ld.CIT(A) called for the remand report from the AO and in response the AO had submitted that notice u/s 133(6) was issued to Praveen Desai requiring him to give the details of payment as appearing in the AIR sheet however, till date no reply has been received in response the said notice. However, the Ld.CIT(A) held that in the absence of any reply from Shri Praveen Desai it was fair to assume that these payments were unaccounted and not shown in the regular books of account of the assessee and hence the Ld.CIT(A) confirmed the addition of ₹ 70,000/- made by the AO. Aggrieved by the impugned decision ..... X X X X Extracts X X X X X X X X Extracts X X X X
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