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Showing contexts for: nonexistent entity in Ito, New Delhi vs M/S. Pacific Projects Ltd., New Delhi on 12 August, 2022Matching Fragments
9. The sole basis for initiating assessment proceedings u/s 143(3)/147 of the Act is that, as per the enquiry, it is found that M/s Abhinav Cooperative Group Housing Society is non-existent entity. Therefore, the entire cash credit of Rs. 2,49,76,706/- received from the said society has been treated as unexplained cash credit and added to the income of the assessee company. The Ld. Counsel for the assessee has produced several documents to substantiate contention that M/s Abhinav Cooperative Group Housing Society was in existent, ie: The letter dated 26/12/2017 from M/s Abhinav Cooperative Group Housing Society written to A.O confirming the transaction of cash receipts, copy of the Assessee's letter dated 14/11/2018 along with audit report and financial of M/s Abhinav Cooperative Group Housing Society Ltd. since from 2008 onwards and also produced copy of ITR computation, balance sheet and tax audit report for Financial Year 2009-10. The above documents produced by the assessee along with paper book has neither disputed nor question by the Ld. DR. The above documents clearly negate the contention of the Department that the M/s Abhinav Cooperative Group Housing Society is nonexistent entity. Therefore, in our opinion, the Ld. A.O and the Ld.CIT(A) AND ITA. No. 3512/Del/2019 M/s. Pacific Projects Ltd., N. Delhi.
have committed error in finding the fact and making addition on the ground that M/s Abhinav Cooperative Group Housing Society is nonexistent entity. Therefore, in our considered opinion, the grounds of Appeal filed by the assessee are deserves to be allowed. Accordingly, we allow the Assessee's grounds of Appeal.
10. In the result, the Appeal of the assessee in ITA No. 3512/DEL/2019 is allowed.
I.T.A. No. 1835/Del/2017
11. There is adelay of 615 days in filing the Appeal by the Revenue and the revenue has filed an application for condoning the delay stating the reason that after allowing the Appeal of the Assessee the CIT (A), the department has conducted an enquiry and found that M/s Abhinav Cooperative Group Housing Society is a nonexistent entity, thereafter, filed the present Appeal. For the reasons stated in the Application, we condone the delay in filing the Appeal by the Revenue.