Dismissing the appeal of the revenue the Court held that ; since it was first year of business of AOP and no business activity having been shown to have been conducted by it that could lead to generation of unaccounted income on first day of relevant accounting period itself, Tribunal had not committed any error in deleting impugned addition. Provided PAN/GIR and income tax return of members sufficient to establish the creditworthiness and also discharge the onus (AY. 2001-02)
CIT v. Lal Mohar (2017) 252 Taxman 401/ (2018) 409 ITR 95(All.)(HC)/CIT v. Rajendra Kumar ( (2017) 252 Taxman 401// (2018) 409 ITR 95 (All. )(HC) Editorial: SLP of revenue is dismissed , CIT v. Lal Mohar ( 2018) 409 ITR 2( St)
S. 68 : Cash credits – Firm or AOP – ntry pertaining to first day of business – No scope for assuming that income was generated – No addition can be made- Provided PAN/GIR and income tax return of members sufficient to establish the creditworthiness and also discharge the onus .