Assessee, a Non-Banking Finance Company (NBFC), was engaged in business of trading and investments .During year, assessee received share application money of certain amount in cash from several individuals . AO added back entire amount of share capital to income of assessee. The\u00a0 AO had acknowledged that in compliance of notice issued under S.\u00a0 133(6) all share applicants filed evidences in form of balance sheets, ITR acknowledgement and bank statements. Before CIT (A ) assessee had also filed additional documents by way of account statements of share applicants, share application forms, copy of bank account of share applicants, copy of ledger account of share applicants . Tribunal held that the assesssee has proved the identity of share applicants was proved by furnishing name, address, PAN of share applicants together with copies of their respective balance sheets and income tax returns\u00a0 it was further found that these individuals were having capital in lakhs of rupees and investment made in assessee-company was a small part of their capital. Accordingly the\u00a0 assessee had discharged its onus to prove identity and creditworthiness of share subscribers and genuineness of transactions, therefore, addition made as cash credits was unjustified. ( AY. 2013 -14)<\/p>\n","protected":false},"excerpt":{"rendered":"
S.68: Cash credits \u2013 Share capital \u2013 Creditworthiness of subscribers and genuiness of transactions were proved- Addition is held to be not justified . <\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-12836","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-3l2","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/12836","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=12836"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/12836\/revisions"}],"predecessor-version":[{"id":12837,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/12836\/revisions\/12837"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=12836"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=12836"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=12836"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}