MANOJ KUMAR,BANGALORE vs. THE INCOME TAX OFFICER WARD-5(2)(3), BANGALORE

The assessee has raised as many as 10 grounds but effective grievance on merit is only one about addition of Rs. 18.75 Lacs u/sc 68 in respect of cash credit from four loan creditors.

Learned AR of the assessee submitted that as per Para 5 of the impugned order of CIT (A), he says that the assessee could not prove the identity and creditworthiness of these four loan creditors and the genuineness of the transaction but several documents were produced before him and before the AO in this regard which are available in Annexure – a of the Appeal Memo on pages 8 to 38 being Income Tax returns, FINNCIAL STATEMENTS, BANK PASS Book and balance Confirmation letters of these four loan creditors and there is no comment by him in respect of these documents and therefore, this addition should be deleted. Learned DR of the revenue supported the orders of the authorities below.

I have considered the rival submissions. I Find that various documents in respect of these four loan creditors were produced before the AO & CIT (A) such as Income Tax returns, FINNCIAL STATEMENTS, BANK PASS Book and balance Confirmation letters and as per the order of CIT 9A), there is no comment by him in respect of these documents. Under these facts, I set aside the order of CIT (A) and restore the matter back to his file for fresh decision with the direction that he should pass fresh speaking and reasoned order as per law in the light of these documents after providing adequate opportunity of being heard to both sides.

In the result, the appeal of the assessee is allowed for statistical purposes.