ITO v. Neelkanth Finbuild Ltd.

61 Taxmann.com 132High Court2015#10003 most cited

What is ITO v. Neelkanth Finbuild Ltd. authority for?

Where an assessee provides documentary evidence of share capital, and creditors are identified and verifiable (even if they don't have PAN cards, e.g., agriculturists), the onus shifts to the Revenue to prove the money is from the assessee's own undisclosed sources before an addition can be made under section 68.

11

judgments rely on this decision, according to BharatTax’s citation analysis of 366,005 Indian tax judgments — from 2017 to 2025.

Also referred to as

ITO v. Neelkanth Finbuild Ltd. · section 68 · addition under section 68 · share capital · share premium · bogus share capital · source of source · creditworthiness of creditor · preponderance of probability · agriculturists · PAN card · documentary evidence · Revenue's burden of proof

Also reported as

70 SOT 368

Issues it is cited on

bogus share capitalsource of sourcepreponderance of probabilitycreditworthiness of the creditorshare capital and share premiumaddition under section 68share application moneyentry operatoraddition u/s 68rule 46aprincipal commissioner of income-taxsection 133

Judgments citing ITO v. Neelkanth Finbuild Ltd.

ACIT, New Delhi vs. Filatex India Limited, Delhi

ITA 5000/DEL/2024[2015-16]Status: DisposedITAT Delhi30 Jun 2025AY 2015-16

Bench: Shri Satbeer Singh Godara & Shri Manish Agarwal

…ITA Nos.4635, 5000, 2060, 4999, 4648, 3988, 2061, 1455, 2062 & 1456/Del/2024 & C.O.Nos.11, 32, 33, 34/Del/2025 & 89, 90 & 91/Del/2024 IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ‘B’, NEW DELHI BEFORE SHRI SATBEER SINGH GODARA, JUDICIAL MEMBER & SHRI MANISH AGARWAL, ACCOUNTANT MEMBER ITA Nos.4635, 5000, 2060, 4999, 4648, 3988, 2061, 1455, 2062 & 1456/Del/2024 & C.O.Nos.11, 32, 33, 34/Del/2025 & 89, 90 & 91/Del/2024 (Assessment Years 2013-14, 2015-16, 2016-17, 2017-18, 2019-20, 2020-2 & 2021-22) S1. No ITA/CO No(s) Asst. Year(s) Appeal(s) by Appellant vs. Respondent Appellant Respondent 1. 4635/Del/2024 2013-1…

ACIT, Delhi vs. Grand Estate LLP, Delhi

In the result, appeal of the Revenue in ITA No

ITA 4740/DEL/2024[2018-19]Status: DisposedITAT Delhi30 Jun 2025AY 2018-19

Bench: Shri Satbeer Singh Godara & Shri Manish Agarwal

Section 132Section 143(1)Section 143(2)Section 147Section 148

…ITA Nos.4729, 4737, 4740, 1389/Del/2024 & C.O.Nos.29, 30, 31/Del/2025 & 92/Del/2024 IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ‘B’, NEW DELHI BEFORE SHRI SATBEER SINGH GODARA, JUDICIAL MEMBER & SHRI MANISH AGARWAL, ACCOUNTANT MEMBER ΙΤΑ Nos.4729, 4737, 4740, 1389/Del/2024 & C.O.Nos.29, 30, 31/Del/2025 & 92/Del/2024 (Assessment Years 2016-17, 2017-18, 2018-19 & 2021-22) | Sl. No | ITA/CO No(s) | Asst. Year(s) | Appeal(s) by Appellant | vs. Respondent Appellant | Respondent -- | -- | -- | -- | -- 1. | 4729/Del/2024 | 2016-17 | ACIT, Delhi | Grand Estates LLP, B-66, Defence Colony, South Delhi, Delhi-110024…

Income Tax Officer-1, Morena vs. Shri Agrasen Logistics, Jotai Road, Porsa

In the result, the appeal of the Revenue is dismissed

ITA 108/AGR/2025[2022-23]Status: DisposedITAT Agra24 Jun 2025AY 2022-23

Bench: Shri Sunil Kumar Singh & Shri Manish Agarwal

Section 143(2)Section 143(3)Section 250Section 68

…ITA No.108/AGR/2025 ITO Vs. Shri Agrasen Logistics THE INCOME TAX APPELLATE TRIBUNAL AGRA BENCH: AGRA BEFORE SHRI SUNIL KUMAR SINGH, JUDICIAL MEMBER AND SHRI MANISH AGARWAL, ACCOUNTANT MEMBER ITA No.108/AGR/2025 (ASSESSMENT YEAR: 2022-23) Income Tax Officer-1 Morena, (M.P.) Shri Agrasen Logistics, In front of Old Rajput Vs. Hotel, A.B. Road, Morena-476001 (M.P.) (Appellant) PAN-AEIFS3236E (Respondent) Assessee by Shri Sudhir Sehgal Adv. & Shri Ashok Vijaywargiya, CA Department by Shri Sukesh Kumar Jain, CIT- DR Date of Hearing 21/05/2025 Date of Pronouncement 24/06/2025 ORDER PER MANISH AGARWAL, AM: This appeal i…

Ace Cabs Limited, Delhi vs. ACIT, Circle-1(2), Delhi, C R Building

In the result, appeal filed by the assessee is allowed

ITA 443/DEL/2024[2017-18]Status: DisposedITAT Delhi04 Oct 2024AY 2017-18

Bench: Shri Saktijit Dey, Hon’Ble & Shri S.Rifaur Rahmanace Cabs Limited, Vs. Acit, Circle 1 (2), 562, Silver Oak Lane, Delhi. M.G. Road, Ghitorni, Delhi – 110 030. (Pan : Aaica4494R) (Appellant) (Respondent) Assessee By : Shri Gaurav Jain, Advocate Ms. Bharti Sharma, Advocate Revenue By : Shri Kanv Bali, Sr. Dr Date Of Hearing : 23.07.2024 Date Of Order : 04.10.2024 Order Per S.Rifaur Rahman,Am: 1. This Appeal Has Been Filed By The Assessee Against The Order Of Ld. Commissioner Of Income Tax (Appeals), New Delhi [“Ld. Cit(A)”, For Short]/ National Faceless Appeal Centre (Nfac) Dated 12.12.2023 For The Assessment Year 2017-18. 2. The Assessee Submitted An Application Under Rule 29 Of The Itat Rules For Admitting The Additional Evidences & The Contents Thereof Are Reproduced Below:-

For Appellant: Shri Gaurav Jain, AdvocateFor Respondent: Shri Kanv Bali, Sr. DR
Section 142(1)Section 143(2)

…and have been assessed. Once the assessee has produced documentary evidence to establish the existence of such companies, the burden shifts to the Revenue to establish their case. c. The Hon’ble ITAT Delhi in the case of ITO v. Neelkanth Finbuild Ltd. [2015] 70 SOT 368 (Delhi Trib.) has held as under in para 6: 36 “the learned Commissioner of Income tax (Appeals) observed that the Assessing Officer was not able to bring anything on record that it was the assessee's own money which was routed in the form of share application money and has rightly deleted the same.” d. CIT v. Lanco Industries Ltd.[2000] 242 ITR…

Deputy Commissioner of Income Tax, Aurangabad vs. Vista Nirman Pvt. Ltd., Mumbai

ITA 1340/PUN/2023[2011-12]Status: DisposedITAT Pune05 Aug 2024AY 2011-12

Bench: Shri R. K. Panda & Ms Astha Chandraassessment Year : 2011-12

For Appellant: Shri Jaiprakash BairagraFor Respondent: Shri Ajay Kumar Keshari
Section 132Section 133(6)Section 133ASection 142(1)Section 143(3)Section 147Section 148Section 151(1)

…i) CIT vs. Dwarkadish Investment Pvt. Ltd., 330 ITR 298 (Delhi) (ix) Sarogi Credit Corporation v. CIT, 103 ITR 344 (Patna) (x) DCIT v. Rohini Builders, 256 ITR 360 (Guj) (xi) Aravali Trading Co. v. ITO, 220 CTR 622 (Raj) (xii) ITO vs. Neelkanth Finbuild Ltd., 70 SOT 368 (xiii) Nemi Chand Kothari vs. CIT (2004) 264 ITR 254 (Gau) (xiv) CIT v. Shiv Dhooti Pearls & Investment Ltd., 237 Taxman 104 29. He submitted that when the assessee has proved the source of the investor companies by producing their PAN, letters of confirmation, bank statements, audited balance sheet, etc. and the assessee is not required to prove…

D.C.I.T., Central Circle - 1(4), Kolkata vs. M/S. Wise Investment Pvt. Ltd., Kolkata

In the result, appeal of the revenue is dismissed

ITA 163/KOL/2023[2012-2013]Status: DisposedITAT Kolkata09 Nov 2023AY 2012-2013

Bench: Shri Sanjay Garg, Hon’Ble & Dr. Manish Borad, Hon’Blei.T.A. No. 163/Kol/2023 Assessment Year: 2012-13 D.C.I.T. Central Circle – 1(4), Kolkata M/S. Wise Investment Pvt. Ltd. Vs 3Rd Floor 5, Govind Chand Dhar Lane Kolkata - 700001 [Pan: Aaacw3141R] अपीलाथ"/ (Appellant) "" यथ"/ (Respondent) Assessee By : Shri Manish Tiwari, Fca Revenue By : Shri Abhijit Kundu, Cit D/R सुनवाई क" तारीख/Date Of Hearing : 26/09/2023 घोषणा क" तारीख /Date Of Pronouncement: 09/11/2023 आदेश/O R D E R Per Dr. Manish Borad: The Above Captioned Appeal Is Directed At The Instance Of The Revenue Against The Order Of The Learned Commissioner Of Income Tax, Appeals -21, Kolkata, (Hereinafter The “Ld. Cit(A)”) Dt. 26/12/2022, Passed U/S 250 Of The Income Tax Act, 1961 (“The Act”) For The Assessment Year 2012-13. 2. The Assessee Has Raised The Following Grounds Of Appeal:- “1. Whether On The Facts & Circumstances Of The Case Ld. Cit (A) Is Justified In Deleting Addition Made U/S. 68 Of Rs.32,50,00,000/- Ignoring The Remand Report Dated 20.07.2022 Wherein The Report Categorically Stated That The Share Applicant Company Has No Creditworthiness To Invest In The Assesses Company. 2. Whether On The Facts & Circumstances Of The Case Ld. Cit (A) Was Erroneous As It Had Not Taken Cognizance Of The Fact That The 2

For Appellant: Shri Manish Tiwari, FCAFor Respondent: Shri Abhijit Kundu, CIT D/R
Section 131Section 142(1)Section 143(2)Section 250Section 68

…| आयकर अपीलीय अिधकरण "यायपीठ, कोलकाता | IN THE INCOME TAX APPELLATE TRIBUNAL “B” BENCH, KOLKATA BEFORE SHRI SANJAY GARG, HON’BLE JUDICIAL MEMBER & DR. MANISH BORAD, HON’BLE ACCOUNTANT MEMBER I.T.A. No. 163/Kol/2023 Assessment Year: 2012-13 D.C.I.T. Central Circle – 1(4), Kolkata M/s. Wise Investment Pvt. Ltd. Vs 3rd Floor 5, Govind Chand Dhar Lane Kolkata - 700001 [PAN: AAACW3141R] अपीलाथ"/ (Appellant) "" यथ"/ (Respondent) Assessee by : Shri Manish Tiwari, FCA Revenue by : Shri Abhijit Kundu, CIT D/R सुनवाई क" तारीख/Date of Hearing : 26/09/2023 घोषणा क" तारीख /Date of Pronouncement: 09/11/2023 आदेश/O R D E R…

DCIT, Central Circle-1, Noida vs. Aashikyana Civil Contractors P.Ltd, New Delhi

In the result, the appeal of the Revenue is dismissed

ITA 9025/DEL/2019[2014-15]Status: DisposedITAT Delhi23 Mar 2023AY 2014-15

Bench: Sh. C. M. Gargdr. B. R. R. Kumar

For Appellant: NoneFor Respondent: Sh. Kanv Bali, Sr. DR
Section 132Section 153ASection 250(4)Section 68

…THE INCOME TAX APPELLATE TRIBUNAL DELHIBENCH ‘A’, NEW DELHI Before Sh. C. M. Garg, Judicial Member Dr. B. R. R. Kumar, Accountant Member ITA No. 9025/Del/2019 : Asstt. Year: 2014-15 DCIT, Vs. M/s Aashiyana Civil Contractors Pvt. Central Circle-1, Ltd., R/o 302-304, Harsha Corner Noida Complex, Ghazipur, New Delhi-110096 (APPELLANT) (RESPONDENT) PAN No. AAECA4833G Assessee by : None Sh. Manoj Kumar, CA (LOA filed) Revenue by : Sh. Kanv Bali, Sr. DR Date of Hearing: 16.02.2023 Date of Pronouncement: 23.03.2023 ORDER Per Dr. B. R. R. Kumar, Accountant Member: The present appeal has been filed by Revenue against…

Joint Commissioner of Income Tax (OSD) Circle-1(1), Bilaspur vs. M/S Omax Minerals Pvt. Ltd. Gadumaria, Raigarh

In the result appeal ITA No

ITA 94/RPR/2018[2014-15]Status: DisposedITAT Raipur17 Oct 2022AY 2014-15
For Appellant: Shri G.S.Agrawal & Shri N.C.Gupta, ARsFor Respondent: Shri Sanjay Kumar, Sr.DR
Section 131(1)Section 68

…आयकर अऩीऱीय अधधकरण, रायऩुर न्यायऩीठ, रायऩुर IN THE INCOME TAX APPELLATE TRIBUNAL RAIPUR BENCH, RAIPUR श्री रविश सूद, न्याययक सदस्य एवं श्री अरुण खोड़वऩया, ऱेखा सदस्य के समक्ष । BEFORE SHRI RAVISH SOOD, JM & SHRI ARUN KHODPIA, AM आयकर अऩीऱ सं./ITA No.94/RPR/2018 (ननधाारण वषा / Assessment Year :2014-2015) JCIT(OSD), Circle-1(1), Bilaspur Vs M/s Omax Minerals Pvt. Ltd. Adumaria, Jharsuguda Road, Raipur PAN No. : AABCO 5774 H (अऩीऱाथी /Appellant) (प्रत्यथी / Respondent) .. AND Cross Objection No.09/RPR/2018 (Arising out of ITA No.94/RPR/2018) (ननधाारण वषा / Assessment Year :2014-2015) M/s Omax Minerals Pvt. Ltd. Vs J…

Sarita Bagdi, Indore vs. The ITO Ward-4(1), Indore

In the result appeal of the assessee is allowed

ITA 6/IND/2019[2011-12]Status: DisposedITAT Indore25 May 2021AY 2011-12

Bench: Hon’Ble Manish Borad & Hon’Ble Madhumita Royassessment Year 2011-12

Section 10(38)Section 131Section 143(3)

…आयकर अपील"य अ"धकरण, इंदौर "यायपीठ, इंदौर IN THE INCOME TAX APPELLATE TRIBUNAL, INDORE BENCH, INDORE BEFORE HON’BLE MANISH BORAD, ACCOUNTANT MEMBER AND HON’BLE MADHUMITA ROY, JUDICIAL MEMBER Assessment Year 2011-12 Smt. Sarita Bagdi, : Appellant 30, Shradhanand Marg, Indore PAN : AFIPB9540B V/s Income Tax Officer 4(1) Indore : Respondent Revenue by Shri Harshit Bari, Sr.DR Assessee by S/Shri Pranay Goyal & S.N. Goyal, ARs Date of Hearing 06.04.2021 Date of Pronouncement 25.05.2021 O R D E R PER MANISH BORAD, A.M The above captioned appeal filed at the instance of the assessee for Assessment Year 2011-12 is…

Deputy Commissioner of Income Tax Central Circle-6(3), Mumbai vs. M/S.Marathon Fiscal Private Limited, Mumbai

The appeal of the revenue is dismissed

ITA 5783/MUM/2017[2013-14]Status: DisposedITAT Mumbai28 Aug 2019AY 2013-14

Bench: Shri Ravish Sood & Shri N.K. Pradhandeputy Commissioner Of Income M/S Marathan Fiscal Pvt. Ltd., Tax, Central Circle-6(3), Marathan House, Room No. 1926, 19Th Floor, Lala Devi Dayal Road, Air India Building, Vs. Mulund (West), Nariman Point, Mumbai – 400080 Mumbai – 400021

For Appellant: Shri Manjunath Swami &For Respondent: Shri J.P. Bairagra, A.R
Section 133ASection 143(2)Section 143(3)

…P a g e | 1 ITA No.5783/Mum/2017 AY.2013-14 DCIT, CC-6(3) Vs. M/s Marathan Fiscal Pvt. Ltd. ITA No.5784/Mum/2017 AY. 2013-14 DCIT,CC-6(3) Vs. M/s Marathan Realty Pvt. Ltd. IN THE INCOME TAX APPELLATE TRIBUNAL “D” Bench, Mumbai Before Shri Ravish Sood, Judicial Member and Shri N.K. Pradhan, Accountant Member Deputy Commissioner of Income M/s Marathan Fiscal Pvt. Ltd., Tax, Central Circle-6(3), Marathan House, Room No. 1926, 19th Floor, Lala Devi Dayal Road, Air India Building, Vs. Mulund (West), Nariman Point, Mumbai – 400080 Mumbai – 400021 PAN – AAFCM9819F (Appellant) (Respondent) Deputy Commissioner of Incom…

M/S. Pashupati Textiles & Prints Pvt. Ltd., Meerut vs. ACIT, Meerut

In the result, the appeal of the assessee is allowed

ITA 5797/DEL/2016[2010-11]Status: DisposedITAT Delhi20 Apr 2017AY 2010-11

Bench: Shri B.P. Jainassessment Years 2010-11 Vs. Acit, Circle-2, Pashupati Textiles & Prints Pvt. Ltd., Aleem Market, Meerut. Khandak Bazar, Meerut. Pan: Aabcp 0275C (Appellant) (Respondent) Assessee(S) By : S/Shri K. Sampat & V.Raja Kumar, Adv. Revenue By : Ms. Bedobani Chaudhuri, Sr.D.R. सुनवाई क" तार"ख/Date Of Hearing : 18/04/2017 घोषणा क" तार"ख /Date Of Pronouncement: 20/04/2017 Order This Appeal Of The Assessee Arises From The Order Of Learned Cit(A), Meerut, Vide Order Dated 02.09.2016 For The Assessment Year 2010-11. 2. The Assessee Has Raised The Following Grounds Of Appeal. “The Cit(A) Has Erred In Summarily Rejecting The Plea Of The Appellant Company With Respect To Following A) That The Learned Assessing Officer Has Erred In Making Addition U/S.68 Of The Income Tax Act, 1961. B) That Identity, Creditworthiness & Genuineness Of The Transactions Have Been Proved Beyond Doubt. C) That The Several Observations As Made & Inferences Drawn Are Untenable, Incorrect, Unwarranted.” 3. The Brief Facts Of The Case As Are Emanating From The Order Of The Ao Are Reproduced Hereinbelow: “3. The Assessee Was Required To Produce The Directors Of The Two Companies, Namely, Mls Hum Tum Marketing Pvt. Ltd. & Mls Victory Software Pvt. Ltd., From Whom It Had Made Transactions, For Statements Vide Order Sheet Entry Dated 08.10.2014. The Assessee Has Filed Copy Of Account Of Both The Companies, But He Failed To Produce Them For Statement. The Assessee Has Also Filed Copy Of Bank Transaction & Copy Of Itr-V For A. Y 2010-11 Of Both The Parties. After Careful Observation Of These Documents, In The Case Of M/S. Hum Tum Marketing Pvt. Ltd, Return Income For A.Y 2010-11 Was Nil & In 2

For Respondent: Ms. Bedobani Chaudhuri
Section 131Section 153CSection 68

…ions so made by the AO and confirmed by the learned CIT(A) is bad in law and is directed to be deleted. Learned counsel for the assessee has relied upon the decision of Hon’ble Delhi High Court in the case of ITO vs. Neelkanth Finbuild Ltd. reported in (2015) 70 SOT 368 (Del). The reliance is also placed in the case of Goel Som Golden State (P) Ltd decided by Hon’ble Delhi High Court in ITA No.212/12 dated 11.04.2012 where the AO did not conduct any inquiry about the assessee to receive share capital from five companies treated as sham and bogus and appeal of the Revenue was dismissed by the Hon’ble Court. In the…

ITO v. Neelkanth Finbuild Ltd. (61 Taxmann.com 132) — Cited in 11 Judgments | BharatTax