AJAY ENGICONE PRIVATE LIMITED,RANCHI vs. DCIT CIRCLE 1 RANCHI, RANCHI
Facts
The assessee, Ajay Engicone Private Limited, took two loans of Rs. 5 lakhs each from M/s. Mithilesh Kumar and M/s. Gourav Construction Pvt. Ltd. These loans were claimed to have been repaid in the subsequent year through banking channels, but the Assessing Officer (AO) did not accept this explanation.
Held
The Tribunal restored the matter to the file of the AO, instructing to grant the assessee an adequate opportunity to provide details and prove the genuineness, creditworthiness, and identity of the creditors. This decision was made because the assessee had not initially provided sufficient details to the AO.
Key Issues
Whether the assessee sufficiently proved the genuineness, creditworthiness, and identity of the creditors for the two loans taken, and whether adequate opportunity was provided for such proof.
Sections Cited
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Income Tax Appellate Tribunal, “SMC BENCH”, RANCHI
Before: SHRI GEORGE MATHAN
IN THE INCOME TAX APPELLATE TRIBUNAL “SMC BENCH”, RANCHI BEFORE SHRI GEORGE MATHAN, JUDICIAL MEMBER (THROUGH HYBRID MODE) आयकर अपील सं./ITA No.280/RAN/2025 (निर्धारण वर्ा / Assessment Year :2020-2021) Ajay Engicone Private Limited Vs. DCIT, Circle-1, Ranchi Harihar Singh Road, Morabadi, Ranchi-834008 स्थायी लेखा सं./PAN No. : AADCA 2509 E (अपीलार्थी /Appellant) (प्रत्यर्थी / Respondent) ..
निर्ाारिती की ओर से /Assessee by : Shri Vinay Jalan, AR राजस्व की ओर से /Revenue by : Shri Khubchand T Pandya, Sr. DR सुनवाई की तारीख / Date of Hearing : 25/11/2025 घोषणा की तारीख/Date of Pronouncement : 25/11/2025 आदेश / O R D E R This is an appeal filed by the revenue against the order of the ld. CIT(A), National Faceless Appeal Centre (NFAC), Delhi, dated 04.03.2025 for the assessment year 2020-2021. 2. Shri Vinay Jalan, ld. AR represented on behalf of the assessee. Shri Khubchand T Pandya, Sr. DR appeared on behalf of the revenue. 3. It was submitted by the Ld. AR that the during the impugned assessment year the assessee had taken two loans of Rs.5 lakhs/- each from M/s.Mithilesh Kumar and M/s. Gourav Construction Pvt. Ltd. It was submission that these loans have been repaid in subsequent year also. It was submission that before the AO it was shown that transactions were made through banking channels. It was submission that this was not accepted by AO. It was submission that the assessee may be granted one
2 ITA No.280/Ran/2025 more opportunity to provide the details of the said two creditors. It was prayer that assessee may be given one more opportunity to represent its case before the AO. 4. In reply, the ld. Sr. DR did not raised any serious objection. 5. I have considered the submissions. As the assessee has not provided the details of the two creditors, so as to grant the assessee adequate opportunity to produce the details and to prove the genuineness and creditworthiness and identity of the creditors, the issues in this appeal are restored to the file of the AO for readjudication after granting the assessee adequate opportunity being heard. 6. In the result, appeal of the assessee is partly allowed for statistical purposes. Order dictated and pronounced in the open court on 25/11/2025.
Sd/- (GEORGE MATHAN) न्यायिक सदस्य / JUDICIAL MEMBER रधाँची Ranchi; दिनांक Dated 25/11/2025 Prakash Kumar Mishra, Sr.P.S. आदेश की प्रनिलिपि अग्रेपर्ि/Copy of the Order forwarded to : अपीलार्थी / The Appellant- . 1. 2. प्रत्यर्थी / The Respondent- 3. आयकि आयुक्त(अपील) / The CIT(A), आयकर आयुक्त / CIT 4. निभागीय प्रनतनिनर्, आयकि अपीलीय अनर्किण, रधाँची / DR, ITAT, Ranchi 5. गार्ड फाईल / Guard file. 6. आदेशधिुसधर/ BY ORDER, सत्यापपत प्रतत //True Copy// (Senior Private Secretary) आयकर अिीिीय अधर्करण, रधाँची / ITAT, Ranchi
