No incriminating material was found to support additions made by the AO u/s. 68 on account of share application money in the assessments u/s. 153C r/w S. 143(3). Addition done by the AO is unsustainable in law. Followed CIT v. Continental Warehousing Corpn. (Nhava Sheva) Ltd ( 2015) 374 ITR 645 (Bom) (HC)/ CIT v. Gurinder Singh Bawa ( 2017) 386 ITR 483 (Bom) (HC)(Arising out of ITA No.8628/M/2010 dt.12/10/2015)(ITA No. 73 of 2017 dt.06/03/2019)(AY. 2001 – 2002)
PCIT v. Dhananjay International Ltd (2020) 114 taxmann.com 317 (Bom.)(HC) Editorial: SLP granted to the revenue. ( tagged along with 4090 of 2016 ) (CA No. 7600 of 2019, 16/09/2019)(2019) 418 ITR 17(St.)(SC) /(2020) 114 taxmann.com 351 (SC)
S.68 : Cash credits – Share Application Money -In the absence of incriminating material found during search – No addition can be made. [ S. 132, 153C ]