Dismissing the appeal of the revenue the Tribunal held that there was neither any payment nor company made any advance or loan . The AO has notionally worked the debit balance on the basis of ledger Account , which is not in accordance with the provisions of the Act hence addition is held to be not justified .( AY. 2013-14)
Dy .CIT v .Veena Goyal ( Smt.) (2020) 119 taxmann.com 362 / 186 ITD 298( Jaipur ) (Trib)
S. 2(22)(e):Deemed dividend – Allotment of shares- Debited value of shares in the ledger account – Addition of debit balance as deemed dividend is held to be not be not justified .