Additions made after reassessment proceedings by AO upheld by CIT(A) & ITAT.
Additions made after reassessment proceedings by AO upheld by CIT(A) & ITAT.
Assessee was builder & developer. Reassessm't proceedings initiated on basis of Info. received from DIT (Investigat'n). AO made addit'ns of Rs. 40L. received by assessee from various entities. On appeal, CIT(A) deleted addit'ns. On appeal, ITAT upheld the decision holding, issue in this appeal identical to issue Court decided in case of M/s. Super Construction Pvt. Ltd. in ITA No. 3645/Mum/2014. Thus, additions were deleted rightly by CIT(A).-500254
Facts in brief:
1. Assessee is in the business of builder and developer.
2. Assessment was completed under section 143(3) (of Income Tax Act, 1961) r.w.s. 147 (of Income Tax Act, 1961).
3. The re-assessment proceedings were initiated on the basis of information received from Directorate of Income-tax (Investigation) without recording Assessing Officer's own satisfaction and the information was accepted in a mechanical manner.
4. After reopening of assessment u/s 147 (of Income Tax Act, 1961), the Assessing Officer made addition of Rs.40 lakhs received by the assessee from various corporate entities.
5. On appeal, said addition was made by the Assessing Officer on account of bogus share application money under the provisions of Section 68 (of Income Tax Act, 1961), which was deleted by CIT(A) by following various judicial pronouncements in similar facts and circumstances.
On appeal, ITAT held as under:
6. The issue in this appeal is identical to the issue we decided above in case of M/s. Super Construction Pvt. Ltd. in ITA No. 3645/Mum/2014 for A.Y. 2007-08, wherein the order of CIT(A) granting relief to the assessee under same facts has been approved by us.
7. Therefore, facts and issues being similar, so following same reasoning we are not inclined to interfere with the order of the CIT(A) who has rightly deleted addition. The same is upheld.
8. In the result, appeal of Revenue is dismissed.
Case Reference-Samsung Builders & Developers P. ... vs Department Of Income Tax
IN THE INCOME TAX APPELLATE TRIBUNAL "A" BENCH, MUMBAI
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