Condition of section 68 treated to be fulfilled by furnishing necessary materials with supporting evidence

Last updated: 28 August 2012

Court :
INCOME TAX APPELLATE TRIBUNAL

Brief :
Facts indicate that Assessing Officer made addition of Rs.1,98,64,646/- as unexplained cash credit u/s 68 of the Act against which assessee preferred appeal in which action of he Assessing Officer in regard to addition u/s 68 of the Act was challenged and Ld.AR of the assessee submitted before first appellate authority that during the year under consideration, the assessee received interest free unsecured loans, from its directors as under: Sh. Gurinder Singh Dhillon - Rs.50,00,000 Smt. Shabnam Dhillon - Rs.1,00,000 The Assessing Officer, on perusal of the audited annual accounts for the year ended 31.03.2008, observed that the following amounts of the loans extended by the directors of the assessee company were outstanding as on that date: Sh. Gurinder Singh Dhillon - Rs.1,08,66,347/- Smt. Shabnam Dhillon - Rs.89,98,299/- The Assessing Officer issued summons to the above directors under section 131of the Act. In response to the same, Shri Gurinder Singh Dhillon as well as Smt. Shabnam Dhillon, vide letter dated 19.10.2010, submitted the following details/documents before the Assessing Officer. - Confirmation regarding granting of unsecured loan:- Copies of the ledger account of the assessee company as appearing in their books of account.

Citation :
ACIT, Circle 4(1), New Delhi. (Appellant) Vs. Luminous Hodings Pvt. Ltd., 115, Yashwant Place, Chankyapuri, New Delhi. (PAN/GIR No.AAACL8754B) (Respondent)