ITO Vs Kapilkumar Amarchand Agrawal (ITAT Ahmedabad)
ITAT Ahmedabad held that appeal filed by the revenue is liable to be dismissed since the alleged accommodation entries are not entered by the assessee and no contrary evidences proving the same has been produced by the revenue.
Facts- The present appeal is filed by the revenue mainly contesting that whether CIT(A) is justified in deleting the addition of Rs 19,77,500/- made u/s 68 of the Act without appreciating the fact that the National Multi Commodity Exchange had confirmed that the assessee has carried out transaction through sub broker RS Enterprise und Suruchi Trading, being involved in providing accommodation entries (bogus profit/loss).
Conclusion- Held that the assessee has not entered into any transactions with RS Enterprise and Suruchi Trading and also accepted that the assessee has indeed had transactions with M/s. Joindre Commodities of Rs. 9,53,933/- and earned profit of Rs. 19,77,500/- from Ratanlal Somani. Since the allegations of the Revenue have not been proved that the assesse has indeed entered into any transactions with RS Enterprise and Suruchi Trading, the ld. CIT(A) has rightly deleted the addition. Even before us, no contrary evidences have been brought by the Revenue. In the result, the appeal filed by the Revenue is dismissed.
