Sumati Dayal v. CIT

M/S. K.G. Finvest Pvt. Ltd., New Delhi vs. ACIT, New Delhi

Bench: Shri R.S. Syal & Ms Suchitra Kamble

…n company without getting any benefit in return.’ Taking into consideration the human probabilities and the judgments of the Hon'ble Supreme Court in CIT vs. Durga Prasad More (1971) ITA Nos.4206 & 999/Del/2014 82 ITR 540 (SC) and Sumati Dayal vs. CIT (1995) 214 ITR 801 (SC), the Assessing Officer came to the conclusion that the assessee brought in its own unaccounted funds into the books through the medium of share capital and share premium to the tune of Rs.75 lac. The same was treated as unexplained and added to the assessee’s total income u/s 68 of the Act. 12. During the course of first appellate proceed…

ACIT, New Delhi vs. M/S. K.G. Finvest Pvt. Ltd., New Delhi

Bench: Shri R.S. Syal & Ms Suchitra Kamble

…n company without getting any benefit in return.’ Taking into consideration the human probabilities and the judgments of the Hon'ble Supreme Court in CIT vs. Durga Prasad More (1971) ITA Nos.4206 & 999/Del/2014 82 ITR 540 (SC) and Sumati Dayal vs. CIT (1995) 214 ITR 801 (SC), the Assessing Officer came to the conclusion that the assessee brought in its own unaccounted funds into the books through the medium of share capital and share premium to the tune of Rs.75 lac. The same was treated as unexplained and added to the assessee’s total income u/s 68 of the Act. 12. During the course of first appellate proceed…

ACIT, New Delhi vs. M/S K.G. Finvest Pvt. Ltd., New Delhi

Bench: Shri R.S. Syal & Ms Suchitra Kamble

…n company without getting any benefit in return.’ Taking into consideration the human probabilities and the judgments of the Hon'ble Supreme Court in CIT vs. Durga Prasad More (1971) ITA Nos.4206 & 999/Del/2014 82 ITR 540 (SC) and Sumati Dayal vs. CIT (1995) 214 ITR 801 (SC), the Assessing Officer came to the conclusion that the assessee brought in its own unaccounted funds into the books through the medium of share capital and share premium to the tune of Rs.75 lac. The same was treated as unexplained and added to the assessee’s total income u/s 68 of the Act. 12. During the course of first appellate proceed…

K.G. Finvest Pvt. Ltd., New Delhi vs. ACIT, New Delhi

Bench: Shri R.S. Syal & Ms Suchitra Kamble

…n company without getting any benefit in return.’ Taking into consideration the human probabilities and the judgments of the Hon'ble Supreme Court in CIT vs. Durga Prasad More (1971) ITA Nos.4206 & 999/Del/2014 82 ITR 540 (SC) and Sumati Dayal vs. CIT (1995) 214 ITR 801 (SC), the Assessing Officer came to the conclusion that the assessee brought in its own unaccounted funds into the books through the medium of share capital and share premium to the tune of Rs.75 lac. The same was treated as unexplained and added to the assessee’s total income u/s 68 of the Act. 12. During the course of first appellate proceed…

K.G. Finvest Pvt. Ltd., New Delhi vs. ACIT, New Delhi

Bench: Shri R.S. Syal & Ms Suchitra Kamble

…n company without getting any benefit in return.’ Taking into consideration the human probabilities and the judgments of the Hon'ble Supreme Court in CIT vs. Durga Prasad More (1971) ITA Nos.4206 & 999/Del/2014 82 ITR 540 (SC) and Sumati Dayal vs. CIT (1995) 214 ITR 801 (SC), the Assessing Officer came to the conclusion that the assessee brought in its own unaccounted funds into the books through the medium of share capital and share premium to the tune of Rs.75 lac. The same was treated as unexplained and added to the assessee’s total income u/s 68 of the Act. 12. During the course of first appellate proceed…

DCIT, New Delhi vs. M/S K.G. Finvest (P) Ltd., New Delhi

Bench: Shri R.S. Syal & Ms Suchitra Kamble

…n company without getting any benefit in return.’ Taking into consideration the human probabilities and the judgments of the Hon'ble Supreme Court in CIT vs. Durga Prasad More (1971) ITA Nos.4206 & 999/Del/2014 82 ITR 540 (SC) and Sumati Dayal vs. CIT (1995) 214 ITR 801 (SC), the Assessing Officer came to the conclusion that the assessee brought in its own unaccounted funds into the books through the medium of share capital and share premium to the tune of Rs.75 lac. The same was treated as unexplained and added to the assessee’s total income u/s 68 of the Act. 12. During the course of first appellate proceed…

DCIT, New Delhi vs. M/S K.G. Finvest (P) Ltd., New Delhi

Bench: Shri R.S. Syal & Ms Suchitra Kamble

…n company without getting any benefit in return.’ Taking into consideration the human probabilities and the judgments of the Hon'ble Supreme Court in CIT vs. Durga Prasad More (1971) ITA Nos.4206 & 999/Del/2014 82 ITR 540 (SC) and Sumati Dayal vs. CIT (1995) 214 ITR 801 (SC), the Assessing Officer came to the conclusion that the assessee brought in its own unaccounted funds into the books through the medium of share capital and share premium to the tune of Rs.75 lac. The same was treated as unexplained and added to the assessee’s total income u/s 68 of the Act. 12. During the course of first appellate proceed…

DCIT, New Delhi vs. M/S K.G. Finvest (P) Ltd., New Delhi

Bench: Shri R.S. Syal & Ms Suchitra Kamble

…n company without getting any benefit in return.’ Taking into consideration the human probabilities and the judgments of the Hon'ble Supreme Court in CIT vs. Durga Prasad More (1971) ITA Nos.4206 & 999/Del/2014 82 ITR 540 (SC) and Sumati Dayal vs. CIT (1995) 214 ITR 801 (SC), the Assessing Officer came to the conclusion that the assessee brought in its own unaccounted funds into the books through the medium of share capital and share premium to the tune of Rs.75 lac. The same was treated as unexplained and added to the assessee’s total income u/s 68 of the Act. 12. During the course of first appellate proceed…

M/S. Anila Industries Ltd., New Delhi vs. DCIT, New Delhi

In the result, the appeal of the assessee is allowed

Bench: Shri N. K. Saini

…open to the Revenue to hold that it was income of the assessee. The reliance was placed on the following cases: " Roshan Di Hatti vs. CIT – (1977) 107 ITR 938 " Kale Khan Mohammad Hanif vs. CIT – (1963) 50 ITR 1 " Sumati Dayal vs. CIT – (1995) 80 Taxman 89 / 214 ITR 801 " CIT vs. R.S. Rathore – (1995) 212 ITR 309 " Addl. CIT vs. Bahri Bros. Pvt. Ltd. – (1985) 154 ITR 244; and " Nemi Chand Kothari vs. CIT – 136 Taxman 213 (Gauwahati). He also observed that various persons / concerns of S.K. Gupta Group had been arranged alphabetically and all the unexplained deposits in the bank accounts of the first 6 Anila Ind…

M/S. Ganesh Kumar & Sons HUF, Delhi vs. ITO, New Delhi

In the result, the appeals filed by the respective assessees are allowed

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

…on to produce the donor since he had died on 06.07.2005. 5. However, the A.O was not satisfied with the explanation given by the assessee. Relying on various decisions including the decision of the Hon'ble Supreme Court in the case of Sumati Dayal reported in 214 ITR 801 he held that the gift received by the assessee is not genuine since the assessee was not able to prove the genuineness of such gift as bonafide. Therefore, the provisions of section 68 are clearly attracted. Since the assessee failed to prove the creditworthiness of the donor, the A.O, invoking the provisions of section 68 of the Act made additio…

M/S Taneja Construction Udyog Ltd., New Delhi vs. DCIT, New Delhi

In the result the appeal filed by the assessee is allowed

Bench: Shri N.K. Saini & Shri Sudhanshu Srivastavaassessment Year: 2005-06 M/S Taneja Construction Udyog Vs Dcit, Ltd., 9, Kasturba Gandhi Marg, Central Circle-18, New Delhi-110001 New Delhi. Assessee By Sh. Salil Aggarwal, Adv. Sh. Shailesh Gupta, Ca Revenue By Ms Jyoti Kumar, Cit Dr

…ed addition to any incriminating material found during the course of search but has rather confirmed the addition relying on preponderance of probabilities I.T.A. No. 5202/Del/2013 Assessment year 2005-06 as espoused in the case of Sumati Dayal reported in 214 ITR 801 (SC). This action could have been upheld if it was a regular assessment under section 143 (3) of the Act but provisions of section 153A, as interpreted by the Hon’ble Delhi High Court, restrict the ambit of assessment to incriminating material un- earthed during the course of search. Thus, on the facts of the case and respectfully following t…

M/S. R.P. Singh & Co. Pvt. Ltd., New Delhi vs. ACIT, New Delhi

Bench: Sh. H.S. Sidhu & Sh. O.P. Kantassessment Year: 2000-01 Vs. The Acit, Circle-15(1), C.R. M/S. R.P. Singh & Co. Pvt. Ltd., 382, Bhera Enclave Pachim Building, I.P. Estate, New Delhi Vihar, New Delhi Pan : Aaacr5778B (Appellant) (Respondent) Appellant By S/Sh. J.S. Kochar & U.S. Kochar, Advocates. Respondent By Sh. F.R. Meena, Sr.Dr Date Of Hearing 05.01.2017 Date Of Pronouncement 10.03.2017 Order Per O.P. Kant, A.M.: This Appeal By The Assessee Is Directed Against The Order Of Learned Commissioner Of Income Tax (Appeals)-Xviii, New Delhi, Dated 14.08.2012, For Assessment Year 2000-01 Raising The Following Grounds : 1) The Learned Commissioner Of Income Tax (Appeals) Erred In Law By Confirming The Addition Of Rs.13,90,000/- Received As Share Application Money, Despite The Fact That Out Of A Total Of 29 Share Applicants. I. 19 Applicants Whose Aggregate Investments Were Rs.10,15,000 Were Produced Before The A.O. & They Confirmed Their Investments. Ii. 2 Applicants With Aggregate Investments Of Rs.90,000 Had Since Died & Their Death Certificates Were Filed. Iii. Request Was Made To The Assessing Officer To Issue Summons U/S 131 To 4 Applicants With Aggregate Investment

…by the most of the persons as why the money remain invested in the company without any dividend or profit for last more than 10 years. In support of the contention, the Ld. senior DR relied on the decision of Hon’ble Supreme Court in the case of Sumati Dayal 214 ITR 801 and submitted that the genuineness of the transaction is to be considered on the basis of surrounding circumstances, human probabilities and the conduct of the connected parties and a transaction does not become genuine merely because a paper trail has been created. 6. We have heard the rival submissions and perused the relevant material on recor…