ITR: HC (DEL): - Undisclosed Income-Loan- in favor of revenue.

Friday, August 6, 2010

HC (DEL): - Undisclosed Income-Loan- in favor of revenue.

DELHI HIGH COURT - Toby Consultants P. Ltd. versus Commissioner of Income-tax

Undisclosed Income-Loan- The assessee engaged in the business of investment in securities, filed return for the assessment year 2001-02 declaring loss of Rs. 26,50,670. Assessing officer treated this as income of the assessee from undisclosed sources and made additions under section 68 of the Act. The Commissioner (Appeals) upheld the order passed by Assessing officer. Tribunal held that since the genuineness of transaction was not proved by the assessee the amount found credited in the name of the director and his daughter in the books of the assessee in the year under appeal was to be charged to tax as the income of the assessee for that year. Held that- the Tribunal rightly arrived at a finding of fact on the analysis of all the relevant material on record that genuineness of the transaction had not been established and the assessee had failed to independently proves the same. Dismiss the appeal.