BIMLESH GOYAL,NEW DELHI vs. ACIT CIRCLE 14, NEW DELHI

It emerges during the course of hearing with the able assistance coming from the Revenue side that both the learned lower authorities in their respective orders, in former assessment year 2013-14, have assessed the assessee as an accommodation entry provider for sale figures of Rs. 5,12,20,000/- involving M/s Paras Gold and treated the similar figures as unexplained money u/s 69A; and of Rs. 27,00,000/- involving M/s Faith Jewellers allegedly as per directions of Shri Naval Kishr Goyal, assessment year wise, respectively.

The Revenue vehemently argues that the impugned additions have been rightly made in the assessee’s hands. It could hardly rebut the clinching fact that even the lower authorities are themselves fair in the former assessment year in treating the assessee as a mere accommodation entry provider, thereby assessing it @ 1% G.P. only. This tribunal is of the considered view that once the assessee is held as accommodation entry provider, the necessary consequence is that very factual position will continue in the impugned latter assessment year as well. Faced with this situation, I uphold the learned lower authorities’ action to the extent that the impugned accommodation entries are to be assessed @ 1% only in assessment year 2013-14 and reject the assessee’s instant appeal and partly allow the latter appeal hrein in very terms. It is made clear that so far as the assessee’s latter assessment year 2016-17, is concerned I have confirmed the impugned addition of Rs. 27,00,000/- at Rs. 27,000/- only.