Ankita Aggarwal Vs ITO (ITAT Delhi)
ITAT Delhi held that addition towards undisclosed investment in shares and unsecured loans merely based on observation made by DCIT without independent inquiry by AO is unjustified and hence the addition is liable to be deleted.
Facts- In course of assessment proceedings, AO made inquiries with regard to the investments made by the assessee in shares of M/s. Vidya Shankar Investments Pvt. Ltd. and M/s. Index Securities & Research Pvt. Ltd. AO ultimately concluded that the investments in shares of M/s. Vidya Shankar Investments Pvt. Ltd. as well as the unsecured loans received from M/s. Vidya Shankar Investments Pvt. Ltd. and M/s. Index Securities & Research Ltd. are non-genuine, hence, have to be treated as unexplained investment under section 69B of the Act and unexplained cash credit under section 68 of the Act respectively. Accordingly, he added back the investments in shares amounting to Rs.1,84,17,025/- in M/s. Vidya Shankar Investments Pvt. Ltd. and unsecured loans availed of Rs.47,89,760/-. However, he accepted the investment in shares of M/s. Index Securities & Research Pvt. Ltd. as genuine. The first appellate authority confirmed the additions. Being aggrieved, the present appeal is filed.
In course of search and seizure operation in residential premises of Sant Lal Aggarwal, jewellery of the value of Rs.78,77,328/- was found in the name of Smt. Rajni Aggarwal, Smt. Ankita Aggarwal and Smt. Khushboo Aggarwal. AO divided the jewellery amounting to Rs.78,77,328/- amongst three ladies and apportioned an amount of Rs.26,25,776/- as assessee’s share and added back to her income.
