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TMI Blog2017 (5) TMI 1214X X X X Extracts X X X X X X X X Extracts X X X X ..... enuineness of transaction and creditworthiness of loan creditor. Since in the instant case of the three conditions duly fulfilled by the assessee in terms of finding recorded by CIT(A), there is no reason to interfere in the order of CIT(A). - Decided against revenue. X X X X Extracts X X X X X X X X Extracts X X X X ..... mpugned order CIT(A) deleted the addition after observing as under:- 4.3 I have carefully gone through the assessment order as well as the written submission of the AR. I have also perused the details filed by the AR. The AO has made addition u/s 68 of the IT Act 1961. It is therefore important to understand the position of law which has evolved from a catena of judgments delivered by High Courts and Tribunals on this issue. The Hon'ble ITAT Mumbai in the case of ITO vs Anant Shelters Pvt. Ltd. (2012) 20 taxmann.com 153 has enumerated certain principles which would be extremely useful in understanding the issue in hand. It has been stated in said judgment that over the years, law regarding cash credits have evolved and has taken a definite ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Ale of the Assessee. 4.5 If the above referred principles are applied to the facts of the case under consideration it can be seen that the identity of the creditors has been established as they are having PAN and they are filing return of income. The genuineness of the transaction is established from the fact that both the acceptance and repayment of loan has been through banking channels. Further the interest paid against such loans have been subject to TDS, the details of which have been filed before the AO. The creditworthiness of the lenders can be established from the ledger etc, bank statements and balance sheet of the lenders which were filed before the AO. 4.6 In the assessment order, the AO mentioned that merely because the fu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ing the nature and source of credit in the books of the appellant is not satisfactory the AO went to discuss in detail the facts related with Bhanwarlal Jain group of cases. The AO has not appreciated the fact that he was not making assessment of Bhanwarlal Jain group of cases. On the other hand, the appellant was able to establish the identity and the creditworthiness of the creditors as well as the genuineness of transactions. 4.7 Recently the Hon'ble Bombay High Court has passed an order in WP No. 167 of 2015 dated 15.04.2015 in the case of M/s Rushabh Enterprises Vs ACIT 24(3) and Ors. In this case also the assessee had taken loan from concerns related with Bhanwarlal Jain group of cases. In its order the Hon'ble Bombay High C ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s argued by learned DR that the alleged creditors were relating to group of Mohan Jain wherein search was conducted and it was found that this group is engaged in providing accommodation entry without having real transaction. Accordingly, it was pleaded that the order of the AO should be confirmed by reversing the order of CIT(A). 8. On the other hand, learned AR placed on record the order of the Co-ordinate Bench in case of Reliance Corporation in ITA No. 1069 to 1071/Mum/2017 dated 12/04/2017, wherein under similar facts and circumstances, addition made on account of loan creditors from the very same group was deleted after having detailed observation at page 8 to 18. 9. We have considered rival contentions and also deliberated on the j ..... X X X X Extracts X X X X X X X X Extracts X X X X
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