S.68: Cash credits – Share application money – Shell company – The DCF method adopted is incorrect and fallacious- the two investing companies held to fit the description of a shell company- The burden is on the assessee to prove the identity, capacity and genuineness and nature and source of credits in his books of accounts, to the satisfaction of the Assessing Officer even if confirmations are filed and the persons are assessed to tax- Theory of human probability applied – Addition as cash credits is held to be justified on the facts of the case – Reassessment is held to be justified . [ S. 133(6), 143(3) , 147, 148, Rule 27 ITAT Rules ,1963 ] S.68: Cash credits – Share application money – Shell company – The DCF method adopted is incorrect and fallacious- the two investing companies held to fit the description of a shell company- The burden is on the assessee to prove the identity, capacity and genuineness and nature and source of credits in his books of accounts, to the satisfaction of the Assessing Officer even if confirmations are filed and the persons are assessed to tax- Theory of human probability applied – Addition as cash credits is held to be justified on the facts of the case – Reassessment is held to be justified . [ S. 133(6), 143(3) , 147, 148, Rule 27 ITAT Rules ,1963 ]

Interpretation of taxing statues – Principle of Resjudicata does not apply to income tax proceedings – In the absence of any change in the circumstances revenue could not reopen the question which had been decided upon in the earlier years .

S. 263 : Commissioner-Revision of orders prejudicial to revenue-Show cause notice-Writ against the show cause was dismissed. [Art. 226]

S. 260A : Appeal-High Court-Tax effect is more than Rs.1 crore-Appeal restored.

S. 254 (1) : Appellate Tribunal-Duties-Ex-parte order-Order passed without considering the application for an adjournment filed by the son and without application of mind-Order of Tribunal set aside and remanded back for fresh consideration. [S. 143(3)]

S. 251 : Appeal-Commissioner (Appeals)-Powers-New claim-Can be made before the Appellate Authority though neither claimed in the original return nor filed the revised return. [S. 139]

S. 245R : Advance rulings-Capital gains on transfer of LLP interest in an Indian LLP-DTAA-India-Netherlands-Application admitted. [S. 245R(ii), Art. 13]

S. 245D : Settlement Commission-Failure to produce the material-Rejection of application is held to be valid. [S. 245D(4), Art. 226]

S. 245D : Settlement Commission-Proceedings stood completed only formal order to be pronounced-Finance Bill, 2021-Directed to pass formal order on or before 31-3-2021. [S. 245D(4), Art. 226]