9911796707
TMI Blog2024 (4) TMI 593X X X X Extracts X X X X X X X X Extracts X X X X ..... 1961 (the Act) by the National Faceless Assessment Centre [ld Assessing officer], was dismissed. 02. The assessee aggrieved with the same has raised following grounds of appeal:- "1. On the facts and circumstances of the case and in law, Learned. CIT(A) erred in confirming the validity of notice under Section. 148, though had been issued in absence of fresh tangible material and on the basis of borrowed satisfaction and without having reason to believe of escapement of income; 2. ON facts and circumstance of the case and in law, Learned. CIT(A), on ignoring the direct evidences, erred in confirming the addition under Section. 68 of Rs.1,00,00,000/-, though the appellant had proved the identity and credit worthiness of the lender and ge ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Assessment was completed under Section 143(3) of the Income-tax Act, 1961 (the Act) on 29th December 2017 at the returned income and current year loss was not disturbed. iv. Notice under section 147 and 148 of the Act were issued on 17th March 2020. Assessee filled return on 1st February 2021, at the same income. Thereafter, notice under section 143(2) of the Act was issued on 27th February 2021. Assessee objected to the reopening of assessment, which was disposed off as per order dated 30th March 2021. v. The reason for reopening states that information is received from the office of the Assistant Director of Investigation, Kolkata as per letter dated 20th August 2018 that a search was conducted in case of Mr. Dilip Kumar Gupta on 15th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... loan of Rs. 50,00,000 on 29th September, 2014 was received from Gujarpur Marcomm Pvt. Ltd. of the same amount and Rs. 50,00,000 given on 4th October, 2014, as the source of Rs.2 Crore received from Paul Tree Deal makers Pvt. Ltd. j. Bank account of the lender for repayment of loan by the assessee. k. Copy of income tax return filed by the lender on 30th March 2016 wherein total income of Rs. 5,02,950/- was disclosed. l. The annual accounts of the lender was also shown where the total of assets were shown to be Rs.7,86,00,000/-. In the Profit and loss account the revenue of the lender was shown at Rs. 33,14,000/-. ix. Thus, the assessee submitted that it has discharged initial onus under Section 68 of the Act by showing identity and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... de before the lower authorities. 07. The Ld AR further did not press ground against reopening of the assessment and he wants to press the deletion of addition on its merits. His submission is that Assessee has discharged its initial onus cast up assessee u/s 68 of the Act by showing Identity and creditworthiness of the lender as well as genuineness of the Transactions. Ld AO has not made any inquiry on the same and merely relied on the report of investigation wing. Therefore, no onus is thrown back to the assessee. In absence of any inquiry addition u/s 68 could not have been made. 08. The learned DR supported the order of the lower authorities. 09. We have heard the rival contentions and perused the orders of the lower authorities. The ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... are on the merit of the case of addition of Rs 1 Crore u/s 68 of the Act. Now the issue arises is that material which is enough for reopening of Assessment is enough for making an addition u/s 68 of the Act also, where, on the facts and circumstances of this case, assessee produces material to discharge onus cast up on it in reassessment proceedings showing identity and creditworthiness of the lender as well as genuineness of the Transaction. If we hold that such material is enough, it will result in to blurring distinction between reopening of an assessment and reassessment of income. Reopening is door to make a reassessment. 011. Assessee has accepted a loan of Rs.1,00,00,000/- from Sarwaria Investments Consultants Pvt. Ltd. To prove the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... firmation of the lender from the books of lender providing copy of account of the assessee. The bank account of the lender and bank account of the assessee is also shown at the time of taking of the loan and on repayment of the loan. Form no. 26 AS, which is the annual tax statement of the lender, also shows that assessee has paid interest to the lender of Rs.3,40,274/- on which tax of Rs.37,028/- is deducted. In view of the above information provided before the lower authorities it is clear that assessee has discharged its initial onus to prove the identity, creditworthiness of the lender and genuineness of the transaction as per provision of Section 68 of the Act. 012. On receipt of such information, the learned Assessing Officer did not ..... X X X X Extracts X X X X X X X X Extracts X X X X
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