What is MOD Creation Pvt Ltd. v. Case authority for?

Under Section 68 of the Income-tax Act, the initial burden is on the assessee to establish the authenticity of transactions for unexplained credits. Once authenticity is proven, this burden shifts, and the assessee is not required to prove the genuineness or source of funds of the creditor beyond this.

How many judgments cite MOD Creation Pvt Ltd. v. Case?

154 judgments on BharatTax cite MOD Creation Pvt Ltd. v. Case (354 ITR 282), spanning 2015 to 2026.

Which sections of the Income Tax Act does MOD Creation Pvt Ltd. v. Case come up under?

It is most often cited in judgments turning on Section 133(6), Section 143(3), Section 147, Section 132(4), Section 37(1), Section 68.

MOD Creation Pvt Ltd. v. Case (354 ITR 282)

ACIT, Central Circle- 15, New Delhi vs. Hal Offshore Ltd., New Delhi

In the result, all the Cross Objections filed by the assessees are allowed and all the appeals filed by the Revenue are dismissed

ITA 111/DEL/2018[2009-10]Status: DisposedITAT Delhi27 Nov 2020AY 2009-10

Bench: Shri R.K. Panda & Ms Suchitra Kamble

Section 132Section 143(3)Section 154

…xii) 237 Taxman 104 (Del) CIT vs. Shiv Dhooti Pearls & Investment Ltd. xiii) 299 ITR 286 (Del) CIT vs. Divine Leasing & Finance Ltd xiv) 330 ITR 298 (Del) CIT vs. Dwarkadhish Investment (P.) Ltd. xv) 333 ITR 119 (Del) CIT vs. Oasis Hospitalities (P) Ltd. xvi) 354 ITR 282 (Del) MOD Creations (P) Ltd. vs. ITO xvii) 3 61 ITR 147 (Del) CIT v. Expo Global India Ltd. xviii) 361 ITR 220 (Del) CIT v. Kamdhenu Steel and Alloys Ltd affirmed by Apex Court in SLP No. 15640 of 2012 dated 23.12.2011 xix) 366 ITR 110 (Del) CIT vs. Empire Buildtech (P) Ltd. xx) 380 ITR 289 (Del) CIT v. Five Vision Promoters (P.) Ltd. CO Nos.73 t…

Thirubala Chemicals P.Ltd, New Delhi vs. ITO, Ward-25(2), New Delhi

In the result appeal of the assessee allowed

ITA 7130/DEL/2019[2015-16]Status: DisposedITAT Delhi02 Oct 2020AY 2015-16

Bench: Shri Bhavnesh Saini & Shri B.R.R. Kumar

For Appellant: Shri Shantanu Jain, AdvocateFor Respondent: Shri Parikshist Singh, Sr. D.R

Section 131Section 133(6)Section 14ASection 40A(2)(b)Section 68

…esby assessee and tax also had been deducted at source on interest payments and remitted.” 7.4.1. In this case, SLP filed by the Department have been dismissed. 7.5. Decision of Hon’ble Delhi High Court in the case of CIT vs. Mod Creations Pvt. Ltd., (2013) 354 ITR 282 (Del.) in which it was held as under : “The Tribunal has adopted an erroneous approach on the aspects of genuineness of the transactions in issue and the creditworthiness of the persons/creditors who lent money to the assessee. The first aspect, i.e., identity of the creditors was established before any of the authorities below. It 22 ITA.No.713…

Rukmani Agencies Private Limited, Mumbai vs. DCIT, Cent.Cir-5(1), Mumbai

In the result, appeal filed by the assessee is allowed”

ITA 2562/MUM/2018[2010-11]Status: DisposedITAT Mumbai02 Mar 2020AY 2010-11

Bench: Shri R.C.Sharmarukmani Agencies Private Vs. D.C.I.T., Limited, Central Circle-5(1), 4Th Floor, Silver Metropolis, 19Th Floor, Air India Jaicoach Compound, Building, Nariman Point, Opposite Bimbisar Nagar, Mumbai-400021. Western Express, Highway Goregaon (E), Mumbai- 400063. Pan/Gir No.Aaacr 4998 P (Appellant) .. (Respondent)

For Appellant: “1. The ld. CIT(A) has erred in law and on facts in upholding the additions made

Section 132(1)Section 143(3)Section 14ASection 68

…s, whose names are given to the Assessing Officer, then the Department is free to proceed to reopen their individual assessments in accordance with law, but it cannot be regarded as the undisclosed income of the assessee." Mod Creations Pvt Ltd vs. ITO (2013) 354 ITR 282 (Del-High Court) "Held, allowing the appeal, (i) that the assessee had discharged the initial onus placed on it. In the event the Revenue still had a doubt with regard to the genuineness of the transactions in issue or as regards the creditworthiness of the creditors, it would have had to discharge the onus which had shifted on to it. A bald asse…

The ITO, Ward -2(2)(2), Surat vs. Smt. Hansaben Bipiinkumar Kothari, Surat

In the result, appeal of the Revenue is dismissed

ITA 613/AHD/2016[2012-13]Status: DisposedITAT Surat13 Dec 2019AY 2012-13

Bench: Shri Sandeep Gosain & Shri O.P.Meenaआ.अ.सं./I.T.A No.613/Ahd/2016 "नधा"रण वष"/Assessment Year: 2012-13 The Income Tax Officer, Vs. Smt.Hansaben Bipinkumar Kothari, Ward-2(2)(2), Surat. 806-C, Kanaknidhi Apartment, Timliawad, Nanpura, Surat. [Pan: Adgpk 1894 D] अपीलाथ" / Appellant ""यथ"/Respondent "नधा"रतीक"ओरसे /Assessee By Shri Sapnesh Sheth – Ca राज"वक"ओरसे /Revenue By Shri Sreenivas T.Bidari – Cit-Dr

Section 131Section 143(1)

…stant case, he has made addition simply on the ground that source of deposit in the bank account of further sub-creditors remains unexplained, even though these are received through cheques. In the case of Mod. Creations Pvt. Ltd. v. Income Tax Officer (2013) 354 ITR 282 (Del), the position was clarified by the Hon'ble Delhi High Court and it was held that the burden u/s Section 68 of the I.T., which is placed on the Assessee, shifts as soon as the Assessee establishes the authenticity of transactions as executed between the Assessee and its creditors. It is no part of the Assessee's burden to prove either the ge…

Deputy Commissioner of Income Tax Central Circle 6(2), Mumbai vs. Shri Sarvajit Patel, Mumbai

In the result, the appeal filed by the revenue is dismissed

ITA 879/MUM/2018[2009-10]Status: DisposedITAT Mumbai28 Oct 2019AY 2009-10

Bench: Shri Saktijit Dey () & Shri N.K. Pradhan () Assessment Year: 2009-10

For Appellant: Mr. Malav P. Sheth, ARFor Respondent: Ms. Vidisha Kalra, CIT(DR)

Section 143(1)Section 143(3)Section 148Section 68

…as held in Shankar Ind v. CIT 114 ITR 689; Prakash Textile v. CIT 121 ITR 890; CIT v. United 187 ITR 596; Rajshree v. CIT 256 ITR 331; Ashokpal v. CIT 220 ITR 452, 454; CIT v. Metachem 245 ITR 160; CIT v. Shree Gopal 204 ITR 285; MOD Creations P. Ltd. v. ITO 354 ITR 282. In the instant case, the AO has not done even preliminary inquiry to disprove the contentions of the assessee. The AO has failed to disprove the contention of the assessee that (i) the loan taken from Ahuja Group and repaid are genuine and reflected in its books of accounts and there is no cash receipt or cash withdrawal, (ii) Shri Ahuja had no…

DCIT, Central Cir-8(4), Mumbai vs. M/S. Amazon Metals Private Limited, Mumbai

In the result, appeal filed by the revenue is dismissed and cross objection filed by the assessee is also dismissed

ITA 905/MUM/2018[2009-10]Status: DisposedITAT Mumbai28 Aug 2019AY 2009-10

Bench: Shri G. Manjunatha & Shri Ram Lal Negidcit, Cc-8(4) Vs. M/S Acro Exports Trade Room No. 658, 6Th Floor Pvt.Ltd. 5Th Floor, Sunteck Centre, Aaykar Bhawan, M.K.Road Mumbai-400 020 37-40 Subash Road Vile Parle(E) Mumbai-400 057

Section 131Section 147Section 148

…. Venkateshwar Ispat Pvt Ltd (2010) 319 ITR 393 (Chhatisgarh-High Court) o) CIT vs. Nav Bharat Duplex Ltd (2013) 35 Taxmann.com 289 (All-High Court) p) CIT vs. Samir Bio-Tech Pvt Ltd (2010) 325 ITR 294 (Del- High Court) q) Mod Creations Pvt Ltd vs. ITO (2011) 354 ITR 282 (Del- High Court) r) CIT vs. Jay Dee Securities & Finance Ltd 32 Taxmann.com 91 (All-High Court) s) Jaya Securities Ltd vs. CIT (2008) 166 Taxman 7 (All- High Court) (SLP filed by dept dismissed) 13. We have heard both the parties, perused the material available on record and gone through orders of the authorities below. The facts borne out from…

Dcie Central Circle-8(4), Mumbai vs. M/S.Pali Fabrics Private Limited, Mumbai

In the result appeal filed by the revenue is dismissed

ITA 904/MUM/2018[2009-10]Status: DisposedITAT Mumbai28 Aug 2019AY 2009-10

Bench: Shri G. Manjunatha & Shri Ram Lal Negidcit, Cc-8(4) Vs. M/S Pali Fabrics Pvt.Ltd. Room No. 658, 6Th Floor 5Th Floor, Sunteck Centre, Aaykar Bhawan, M.K.Road 37-40 Subash Road Mumbai-400 020 Vile Parle(E) Mumbai-400 057 Pan/Gir No.Aafcp0089G (Appellant) .. Respondent) & C.O. No. 77/Mum/2019 (Arising Out Of Ita No.904/Mum/2018) (Assessment Year: 2009-10) M/S Pali Fabrics Pvt.Ltd. Vs. Dcit, Cc-8(4) 5Th Floor, Sunteck Centre, Room No. 658, 6Th Floor 37-40 Subash Road Aaykar Bhawan, M.K.Road Vile Parle(E) Mumbai-400 020 Mumbai-400 057 Pan/Gir No.Aafcp0089G (Appellant) .. Respondent)

Section 131Section 139Section 143(2)Section 147Section 148

…CIT vs. Nav Bharat Duplex Ltd (2013) 35 Taxmann.com 289 (All-High Court) p) CIT vs. Samir Bio-Tech Pvt Ltd (2010) 325 ITR 294 (Del- High Court) 23 ITA.No.904 /Mum/2018 C.O.No. 77/Mum/2019 M/s. Pali Fabrics Pvt.Ltd. & q) Mod Creations Pvt Ltd vs. ITO (2011) 354 ITR 282 (Del- High Court) r) CIT vs. Jay Dee Securities & Finance Ltd 32 Taxmann.com 91 (All-High Court) s) Jaya Securities Ltd vs. CIT (2008) 166 Taxman 7 (All- High Court) (SLP filed by dept dismissed) 13. We have heard both the parties, perused the material available on record and gone through orders of the authorities below. The facts borne out from…

DCIT Central Cir-8(4), Mumbai vs. M/S.Acro Exports Trade Private Limited, Mumbai

In the result, appeal filed by the revenue is dismissed and cross objection filed by the assessee is also dismissed

ITA 903/MUM/2018[2009-10]Status: DisposedITAT Mumbai28 Aug 2019AY 2009-10

Bench: Shri G. Manjunatha & Shri Ram Lal Negidcit, Cc-8(4) Vs. M/S Acro Exports Trade Room No. 658, 6Th Floor Pvt.Ltd. 5Th Floor, Sunteck Centre, Aaykar Bhawan, M.K.Road Mumbai-400 020 37-40 Subash Road Vile Parle(E) Mumbai-400 057

Section 131Section 147Section 148

…. Venkateshwar Ispat Pvt Ltd (2010) 319 ITR 393 (Chhatisgarh-High Court) o) CIT vs. Nav Bharat Duplex Ltd (2013) 35 Taxmann.com 289 (All-High Court) p) CIT vs. Samir Bio-Tech Pvt Ltd (2010) 325 ITR 294 (Del- High Court) q) Mod Creations Pvt Ltd vs. ITO (2011) 354 ITR 282 (Del- High Court) r) CIT vs. Jay Dee Securities & Finance Ltd 32 Taxmann.com 91 (All-High Court) s) Jaya Securities Ltd vs. CIT (2008) 166 Taxman 7 (All- High Court) (SLP filed by dept dismissed) 13. We have heard both the parties, perused the material available on record and gone through orders of the authorities below. The facts borne out from…

ITO 16(1)(5), Mumbai vs. Realstone Entertainment P.Ltd, Mumbai

ITA 1271/MUM/2017[2009-10]Status: DisposedITAT Mumbai24 Jul 2019AY 2009-10

Bench: Shri Pawan Singh () & Shri N.K. Pradhan () Assessment Year: 2009-10 Income Tax Officer- M/S Realstone 16(1)(5), Room No. Vs. Entertainment Pvt. Ltd. A- 439, 4Th Floor, Aayakar 601, Crystal Palace, Link Bhavan M.K. Road, Road, Malad (W), Mumbai- Mumbai-400020. 400064. Pan No. Aaccr8558F Appellant Respondent C.O. No. 201/Mum/2018 (Ita No. 1271/Mum/2017) Assessment Year: 2009-10 M/S Realstone Income Tax Officer- Entertainment Pvt. Ltd. C/O Vs. 16(1)(5), Room No. 439, Ajay Daga& Co. Cas, 401-A, 4Th Floor, Aayakarbhavan Pearl Arcade, Opp P K M.K. Road, Mumbai- Jewellers, Dawoodbaug 400020. Lane, Off J P Road, Andheri (W), Mumbai-400058. Pan No. Aaccr8558F Appellant Respondent Revenue By : Mr. Chaitanya Anjaria & Mr. Sachidanand Debe, Drs Assessee By : Mr. R.C. Jain, Ar Last Date Of Hearing : 03/05/2019 Date Of Pronouncement : 24/07/2019

For Appellant: Mr. R.C. Jain, ARFor Respondent: Mr. Chaitanya Anjaria &

Section 143(1)Section 143(3)Section 148Section 68

…held so in Shankar Ind v. CIT 114 ITR 689; Prakash Textile v. CIT 121 ITR 890 ; CIT v. United 187 ITR 596; Rajshree v. CIT 256 ITR 331; Ashokpal v. CIT 220 ITR 452, 454; CIT v. Metachem 245 ITR 160; CIT v. Shree Gopal 204 ITR 285; MOD Creations P. Ltd. v. ITO 354 ITR 282. As mentioned earlier at para 6, the assessee filed before the AO the relevant details and supporting documents with regard to issue of shares at a premium. A perusal of the assessment order clearly indicates that the AO without making any sort of inquiry has rejected the evidence filed by the assessee on the basis of conjectures and assumptions.…

Deputy Commissioner of Income Tax-4(2)(2), Mumbai vs. M/S.Jamini Nidustries Private Limited, Mumbai

In the result, the appeal is allowed for statistical purposes

ITA 5516/MUM/2017[2014-15]Status: DisposedITAT Mumbai10 Jul 2019AY 2014-15

Bench: Shri Sandeep Gosain () & Shri N.K. Pradhan () Assessment Year: 2014-15

For Appellant: Mr. Bhupendra Shah, ARFor Respondent: Mr. Rajeev K. Gubgotra, DR

Section 143(3)

…as held in Shankar Ind v. CIT 114 ITR 689; Prakash Textile v. CIT 121 ITR 890; CIT v. United 187 ITR 596; Rajshree v. CIT 256 ITR 331; Ashokpal v. CIT 220 ITR 452, 454; CIT v. Metachem 245 ITR 160; CIT v. Shree Gopal 204 ITR 285; MOD Creations P. Ltd. v. ITO 354 ITR 282. In the instant case, in response to the show cause notice dated 23.12.2016, the AR of the assessee filed a written submission dated 26.12.2016 before the AO stating the following : “With reference to the Report of DDIT (Inv.) Unit 1(2), Kolkata we have been directed by the assessee to inform you that the accountant of the assessee while prepari…

ITO 15(2)(2), Mumbai vs. Luxtra Realtors P.Ltd, Mumbai

ITA 6202/MUM/2016[2012-13]Status: DisposedITAT Mumbai19 Jun 2019AY 2012-13

Bench: Shri M.Balaganesh, Am & Shri Amarjit Singh, Jm Ito-15(2)(2), Mumbai Vs. M/S. Luxora Realtors Pvt.Ltd., Room No.802, 8Th Floor Soham House, Hari Om Nagar Old Cgo Building Off. Eastern Express Highway M.K.Road, Near Checknaka Mumbai – 400 020 Mulund (E), Mumbai- 400081 Pan/Gir No.Aabco3197J (Appellant) .. (Respondent)

Section 115JSection 143(3)Section 68

…ld. CIT(A) placed reliance on the following decisions:- a. Hon’ble Delhi High Court in the case of CIT vs. Shivdhooti Pearls and Investment Ltd. reported in 64 Taxman 329. b. Hon’ble Delhi High court in the case of Mod Creations (P) Ltd., vs. ITO reported in 354 ITR 282. c. Hon’ble Delhi High Court in the case of CIT vs. Divine Leasing and Finance Ltd., reported in 299 ITR 268. d. Hon’ble Supreme Court in the case of CIT vs. Lovely Exports (P) Ltd., reported in 216 CTR 195 (SC) 3.4. The ld. CIT(A) further observed as under:- 2.4.7 If above referred principles are applied to the facts and circumstances of the ca…

Vijay Aggarwal, Delhi vs. ITO, Ward- 48(5), New Delhi

In the result, all the appeals of different assessees are partly allowed

ITA 1077/DEL/2019[2010-11]Status: DisposedITAT Delhi30 May 2019AY 2010-11

Bench: : Shri Bhavnesh Saini & Shri L.P. Sahuassessment Year: 2010-11

Section 147Section 148Section 56(2)(vii)Section 68

…e within the special knowledge of the Assessee.” (emphasis supplied) 13. The above observations, far from supporting the case of the Revenue, does the opposite. In the subsequent decision of this Court in Mod. Creations Pvt. Ltd. v. Income Tax Officer (2013) 354 ITR 282 (Del), the position was clarified by the Court and it was held: “It will have to be kept in mind that Section 68 of the I.T. Act only sets up a presumption against the Assessee whenever unexplained credits are found in the books of accounts of the Assessee. It cannot but be gainsaid that the presumption is ITA Nos. 1077 to 1081/Del/2019 33 rebu…

Income Tax Officer-16(1)(5), Mumbai vs. M/S.Re N Raga Media Private Limited, Mumbai

In the result, appeal of the Revenue is dismissed

ITA 6311/MUM/2017[2009-10]Status: DisposedITAT Mumbai09 May 2019AY 2009-10

Bench: Shri C.N. Prasad, Hon'Ble & Shri M. Balaganesh, Hon'Bleincome Tax Officer - 16(1)(5) V. M/S. Re N Raga Media Pvt. Ltd., Room No. 439, 4Th Floor Bungalow No. A/8, Svp Nagar Aayakar Bhavan, M.K. Road, Nr. Mhada Telephone Exchange, Mumbai-400 020 Andheri (W), Mumbai – 400 053

For Appellant: Shri Birju S. ShahFor Respondent: Shri D.G. Pansari

Section 131Section 133ASection 147Section 148Section 68

…ts and circumstances of the present case. 7. Considering the above, no substantial question of law arises. The appeal stands dismissed. However, there is no order as to costs.” 18. The Hon'ble Delhi High Court in the case of MOD Creations Pvt. Ltd., v. ITO [354 ITR 282] held as under: - “13. In the light of the above principle, let us examine as to what the authorities below found vis-à-vis the genuineness of the transactions and the creditworthiness of their creditors. (i) The fact that there was sufficient balance available with the creditors when cheques have been issued to the assessee company was establi…