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TMI Blog2024 (5) TMI 445X X X X Extracts X X X X X X X X Extracts X X X X ..... per satisfaction/reasons and therefore, the rejection of books of accounts was not justifiable. HELD THAT:- CIT(A) and ITAT concurrently based on available records arrived at a finding of fact that the assessee had duly furnished details to establish the correctness of books of accounts and also furnished ITR, Audit Report, balance sheet etc. Having essentially therefore arrived at such findings based on facts, no substantial question of law, much less any substantial question of law is argued. The appeal is dismissed - Honourable Mr. Justice Biren Vaishnav And Honourable Mr. Justice Bhargav D. Karia For the Appellant(s) : Mr. Varun K. Patel, Senior Standing Counsel With Mr. Dev D. Patel, Advocate ORAL ORDER (PER : HONOURABLE MR. JUSTICE ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cured loans / cash credit under Section 68 of the Act. The Assessing Officer made disallowance of Rs. 68,35,25,056/- of the turnover of the assessee which is 5% of total turnover. 3.3 Being aggrieved by the assessment order, the assessee filed appeal before the CIT(Appeals). The CIT (Appeals) partly allowed the appeal of the assessee holding as under: 2.3 I have carefully considered the facts of the case, assessment order and submission of the appellant. The AO has made the addition of Rs. 1,61,68,247/- in respect of two cash creditors invoking the provisions of Section 68 of the Act. The details of such cash creditors are noted as under:- Sr NO. Name and PAN No. Address Amount Rs. 1 Globex Finance Services PAN NO. AALFG3098F 219, The Grand ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ty in the year under consideration. During the year there was the interest credit of Rs. 3,97,396/- in its ledger accounts. So there was no question of making any addition with regard to the opening credit balance of Rs. 1,01,11,954/- in respect of Globex Finance. 2.6 Now with regard to the party namely M/s. Horizon Finance, it has been submitted that the appellant vide its letter dtd.5.12.2016 has provided the confirmation cum contra account, address, PAN , IT return of the party, audit report alongwith balance sheet and profit and loss account and also the bank statement highlighting transactions of loan obtained and paid back. Since the identity, genuineness and creditworthiness of the aforesaid party is duly proved from the aforesaid do ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... addition made by the AO in respect of this aprty in uncalled for and hence the same is deleted. 2.8 Now with regard to the party namely M/s. Horizon Finance, the appellant vide its letter dtd. 5.12.2016 has submitted the confirmation of the said party alongwith contra account from the books of the said party besides its return of income for A.Y. 2014-15 filed on 26.11.2014, form No. 3CB and form No. 3CD with profit and loss account and balance sheet of the aforesaid party and bank statement highlighting the transactions made with the appellant etc. in the assessment proceedings to the AO. It has been noticed that in the loans and advances head of the balance sheet of the aforesaid party the appellant has been shown as a debtor for a closing ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ement of Hon ble Supreme Court in the case of M/s. Orissa Corporation the primary onus cast upon the appellant is duly discharged and in these circumstances no addition in its hands is called for. Thus respectfully following the judgements and decisions of Hon ble Courts briefly noted hereunder, the addition made by the AO in respect of this party namely M/s. Horizon Finance is not justified and hence the same is deleted. 3.4 The revenue was in appeal before the Income Tax Appellate Tribunal. The Tribunal, held as under: 9. We have heard both the parites and perused all the relevant material available on record. It is pertinent to note that as regards the Ground No.1 the assessee has established the identity, creditworthiness and genuinenes ..... X X X X Extracts X X X X X X X X Extracts X X X X
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