SH. SANJEEV KUMAR MISHRA,NEW DELHI vs. ITO, NEW DELHI

The only ground raised in this appeal by the assessee is against the addition of `15,27,644/- sustained by the learned CIT(A).

We have heard the arguments of both the sides and have perused relevant material placed before us. The Assessing Officer found that the assessee has made the total payment of `15,27,644/- against the credit cards of various banks. He treated the above payment as unexplained expenditure by the assessee and made the addition of `15,27,644/-, which is sustained by learned CIT(A).

At the time of hearing before us, learned counsel for the assessee furnished the summary of total credit cards payment by the assessee, copy of which is annexed herewith as Annexure-A for ready reference. From the same, it is apparent that the total payment made by the assessee against various credit cards is `20,99,082/-. However, from the source of payment, it is evident that all the payments have been made by using other credit cards. There is no cash payment made against any credit card but from one credit card, the assessee made the payment for another credit card. In view of the above, we do not find any justification for holding that there was any unexplained payment made against the credit cards. The payment was made for one credit card by utilizing the credit facility of another credit card. In view of the above, we delete the addition of `15,27,644/- made by the Assessing Officer and sustained by the learned CIT(A).

In the result, the appeal of the assessee is allowed. Decision pronounced in the open Court on 19.02.2016.