Case Law Details
DCIT Vs Sanverwala Jewellers Pvt Ltd (ITAT Indore)
In this case Assessing Officer merely doubted the investment made by the share applicants for the reason that they did not submit any proof regarding agricultural activities done by them. It is therefore quite evident that the Assessing Officer himself accepted the identity of the share applicants and genuineness of the transactions as entered into with them. In view of these facts, we are of the view that the assessee company satisfactorily discharged the primary onus as cast upon it under section 68 of the Income-Tax Act, 1961 by establishing the identity and creditworthiness of the share applicants and genuineness of the transactions as entered into with them and therefore, addition made by the Assessing Officer on account of share application money received from remaining share applicants was neither legal nor proper and was rightly deleted by the Ld CIT(A).
FULL TEXT OF THE ORDER OF ITAT INDORE
The above captioned appeal filed at the instance of the Revenue for Assessment Year 2012-13 is directed against the orders of Ld. Commissioner of Income Tax(Appeals)-II (in short ‘Ld. CIT], Indore dated 15.01.2018 which are arising out of the order passed u/s 143(3) of the Income Tax Act 1961 ( in short the ‘Act’) dated 30.03.2015 framed by ACIT-5(1) Indore.
2. Ground nos.1 to 3 relates to deletion of addition of Rs.3,17,39,640/- u/s 68 of the I.T. Act as made by the Assessing Officer to the total income of the assessee company in respect of increase in the share capital.
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