Dismissing the appeal of the revenue the Tribunal held that , assessee has Furnished several documentary evidences to prove genuineness of unsecured loans and share capital investment and creditworthiness of parties. Accordingly the addition cannot be made merely relying upon order of SEBI that some of shareholders of assessee were part of several entities who were linked to money laundering. Assessee is not required to prove source of the source .Deletion of addition by CIT(A) is held to be justified. (AY. 2007-08)
ITO v. Iraisaa Hotels (P.) Ltd. (2018) 173 ITD 30 (Mum.) (Trib.)
S. 68 : Cash credits-Share capital-Loans-Furnished several documentary evidences to prove genuineness of unsecured loans and share capital investment and creditworthiness of parties- Addition cannot be made merely relying upon order of SEBI that some of shareholders of assessee were part of several entities who were linked to money laundering- Assessee is not required to prove source of the source – Deletion of addition by CIT(A) is held to be justified.