Case Law Details
DCIT Vs Nishrin Trading and Investment Pvt. Ltd. (ITAT Mumbai)
ITAT Mumbai held that addition u/s 68 justified as investment made by the companies in the assessee company lacks trust and details of transactions submitted by the assessee didn’t inspire confidence as the credibility of the companies are questionable as per the financials of the same.
Facts-
The solitary issue involved in this present appeal is that CIT(A) has erred in deleting the addition of Rs.11 crores made by AO on account of unexplained cash credit u/s. 68 of the Income-tax Act, 1961 without appreciating the fact that the assessee has received share application money from those entities who were providing accommodation entries and without appreciating the fact that the Hon’ble Supreme Court in the case of Sumati Dayal vs CIT (1995) 214 ITR 207 (SC) has held that genuineness could validly be decided on the ground or principles of preponderance of human possibilities which form a valid ground or parameter for determining the genuineness.
Conclusion-
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