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Facts
The assessee declared an income of Rs. 8,590/- for AY 2012-13. The AO found that the company received share capital money of Rs. 5,03,65,960/- which was treated as unexplained cash credit. The CIT(A) upheld the addition, leading to the present appeal.
Held
The Tribunal found that the share premium of Rs. 5,03,65,960/- was received in the year 2008-09 and not in the year ending 31.03.2012. The documentary evidence substantiated this claim. The CIT(A) upheld the addition on the ground that the assessee failed to provide supporting documents, which was contrary to the evidence on record.
Key Issues
Whether the addition of Rs. 5,03,65,960/- as unexplained cash credit on account of share premium is sustainable when the evidence suggests it was received in an earlier year?
Sections Cited
68, 143(3), 143(2), 142(1), 131, 250
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, “B” BENCH KOLKATA
Before: Shri Rajesh Kumar & Shri Pradip Kumar Choubey
order
: January 09, 2026 ORDER
Per Pradip Kumar Choubey, Judicial Member:
This appeal filed by the assessee is directed against the order dated 19.05.2025 of the NFAC, Delhi [‘CIT(A)’] passed under Section 250 of the Income-tax Act, 1961 (hereinafter referred to as “the Act”) for the assessment year 2012–13.
Brief facts of the case are that the assessee filed its original return of income for the assessment year 2012-13 declaring total income of Rs.8,590/-. The return of the assessee was selected for scrutiny and notices u/s 143(2) and 142(1) were issued and in response to the said notices, the assessee company filed various details in support of unexplained share capital. The Assessing Officer found from the balance sheet of the assessee that the company has received share capital money Goodwill Tracon Pvt. Ltd of Rs.5,03,65,960/-. The director of the assessee company did not make compliance to the notice issued u/s 131 of the Act and the Assessing Officer assessed the income of the assessee 5,03,74,550/-.
Against the aforesaid order, the assessee preferred an appeal before the CIT(A) wherein the ld. CIT(A) dismissed the appeal of the assessee.
Being dissatisfied, the assessee is in appeal before us. The ld. AR challenged the very impugned order thereby submitting that the Assessing Officer as well as the ld. CIT(A) grossly erred in confirming the addition of Rs.5,03,65,960/- ignoring the fact that said sum represented share premium were receipted in the year ended 31.03.2008. The ld. AR submits that the Assessing Officer was wrongly draw inference that the assessee’s premium was received during the year. The ld. AR further submits that there was mistake in giving figure of share premium in ITR for Asst year 2011-12 wherein the figure of reserve and share premium were shown under the “Reserve & Surplus” in the Balance Sheet Portion of the E-ITR filed, however in E-ITR filed for Asst year 2012-13, the figure of Share Premium Rs. 5,03,65,960/- was separately shown in Securities Premium Column of E-ITR filed. His submission is that the securities premium Rs. 5,03,65,960/- was received newly in Asst year 2012-13, and the assessee submitted the copy of E-ITR filed for Asst years 2011-12 & 2012-13.
Contrary to that, the ld. DR supports the impugned order.
Upon hearing the submissions of the counsels of the respective parties, we have perused the records and find that in the present case, the Assessing Officer passed order u/s 143(3) of the Act for the assessment year 2012-13 by making addition of Rs.5,03,65,960/- as unexplained cash credit. It has been submitted by the AR that the Goodwill Tracon Pvt. Ltd premium was received in the year 2008-09 and the assessee has submitted the copy such as earlier years’ ITR, audited balance sheet to substantiate the claim. We have gone through the return of allotment of shares allotted on 31.03.2008 which is as under:
Goodwill Tracon Pvt. Ltd 7. Further we find that ITR filed for the assessment year 2008-09 has also disclosed amount of Rs.50365960/- in the column ‘securities premium account’, which is as under:
We have gone through hard copy of the ITR filed for assessment year 2009-10 and find that the amount was mentioned in the column ‘securities premium account’, which is as under:
We have gone through hard copy of the ITR filed for assessment year 2011-12 and find that the amount was mentioned in the column ‘profit and loss account’, wrongly which is as under:
We have gone through hard copy of the ITR filed for assessment year 2012-13 and find that the amount was mentioned in the column ‘securities premium account’, correctly which is as under:
We find that the aforesaid documentary evidences sufficiently establishes that the captioned share premium of Rs.50365960/- were in fact received in the year 2008 and not in year ending 31.03.2012. The ld. CIT(A) in its order has upheld the addition only on the ground that the assessee was asked to substantiate the same, they did not file any supported documents, evidences, bank statement etc. Going over the aforesaid documents, we set aside the impugned order and the addition of Rs.5,03,65,960/- made u/s 68 is not sustainable and accordingly the same is deleted.
Goodwill Tracon Pvt. Ltd 12. In the result, the appeal filed by the assessee is allowed.
Kolkata, the 9th January, 2026.