9911796707
TMI Blog2018 (5) TMI 955X X X X Extracts X X X X X X X X Extracts X X X X ..... . The office reported that appeal is time barred by 03 days. The assessee filed application for condonation of delay and it is explained that assessee has signed the appeal paper on 29.10.2014 and appeal fees were deposited on 05.11.2014. The same was handed over to the Counsel to file appeal before the Tribunal on 14.11.2014. It is, therefore, submitted that nominal delay may be condoned. Considering the explanation of assessee, the nominal delay in filing the appeal is condoned. 4. Briefly, the facts of the case are that search and seizure operation under section 132 of the I.T. Act was carried out at various business and residential premises of the Directors and important employees of Pearl Group on 22nd March, 2010. The A.O. issued not ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pany before A.O. The A.O, therefore, held the same to be unexplained credit and made the addition under section 68 of the I.T. Act. 5. The assessee challenged the addition before the Ld. CIT(A) and it was submitted that during the course of search no incriminating material was found against the assessee. Therefore, no assessment could be made under section 153A of the I.T. Act. Ld. CIT(A), however, rejected such contention of the assessee. The Ld. CIT(A) also noted that assessee made request for production of the creditor to prove the genuineness of the transaction and creditworthiness which were not done at the assessment stage. The A.O. was, therefore, directed to give opportunity to the assessee to produce all the creditors in respect o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rse of search against the assessee. He has fairly stated that original assessment in this year was not completed on the date of the search, therefore, it may not be a covered matter in favour of the assessee. 8. Ld. D.R. contended that since return was filed for A.Y. 2009-2010 originally on 31st July, 2009 and search was conducted on 22nd March, 2010 and on that date, limitation to issue notice under section 143(2) was available to A.O, therefore, assessment was not completed on the date of the search. Therefore, assessment was rightly framed under section 153A of the I.T. Act. 9. After considering the submissions of the parties in the light of above facts, it is clear that in this case assessment was not completed on the date of the sear ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n directly from the lender under section 133(6) of the I.T. Act which was responded by the lender company by filing their reply directly to the A.O. in which the creditor has confirmed giving money to the assessee. However, according to A.O, copy of the bank statement of the lender company was not filed and the lender company was not produced for examination before him. The A.O. also noted that lender company has declared NIL income in their return of income and sales and other receipts are very meagre and has no adequate means to advance loan to the assessee. However, the balance-sheet of the lender company shows that it has sufficient share capital, reserves and surplus to advance loan to the assessee. The loan amount given to the assesse ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tor before A.O. for examination. We, accordingly, set aside the orders of the authorities below and restore the matter in issue to the file of A.O. with a direction to redecide the issue on merits in accordance with law, considering the evidence and material produced by assessee on record. The assessee is directed to produce the creditor before A.O. along with bank statement. In case, assessee makes a request to the A.O. to summon creditor under section 131 of the I.T. Act for his examination, A.O. shall issue summon under section 131 of the I.T. Act for production and examination of M/s. PP Syntex (P) Ltd., along with their bank statements or A.O. shall call for the bank statement directly from the banker of the lender company in order to ..... X X X X Extracts X X X X X X X X Extracts X X X X
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