DCIT 27(1), Mumbai Vs. Ashok Kumar Valchand Jain M/s. Prakash Jhunjhunwala And Co. LLP

Parties Involved

Facts Summary

The assessee, Ashok Kumar Valchand Jain M/s. Prakash Jhunjhunwala And Co. LLP, is engaged in the business of manufacturing and trading in gold jewellery, ornaments, bullion, and related goods, as well as money-lending activities. The assessee filed his return of income for the year under consideration declaring a total income of ₹57,25,740/-. The case was selected for scrutiny and assessment was framed under section 143(3) of the Income-tax Act, 1961. The Assessing Officer made certain additions and disallowances which were subsequently challenged by the assessee. The main issues pertained to an addition of ₹9,86,202/- on account of a difference in sales, an addition of ₹2,04,07,167/- under section 68 for unexplained cash credits, and a disallowance of ₹20,94,072/- under section 36(1)(iii) for disallowance of interest.…

Legal Issues

• 1. Whether the addition of ₹9,86,202/- on account of difference in sales is valid.
• 2. Whether the addition of ₹2,04,07,167/- under section 68 for unexplained cash credits is valid.
• 3. Whether the disallowance of ₹20,94,072/- under section 36(1)(iii) for disallowance of interest is valid.

Judgment Outcome

Decided in favour of Partly Assessee / Partly Revenue.

Precedents Relied Upon

Similar Judgements

• Aditi Enterprises vs ITO

  Delhi Bench benchAY 2017-18Allowed

• Punit Jain vs. Income Tax Officer, Ward 51(5)

  Delhi Bench 'F', Delhi benchAY 2017-18Allowed

• Hemant Kumar, Assistant Commissioner of Income Tax vs. Kasturi Jewellers P. Ltd.

  Delhi Bench 'F' benchAY 2017-18Dismissed

• Gargi Overseas Pvt. Ltd Vs. Income Tax Officer, Ward-10(1), Delhi

  Delhi Bench 'A', New Delhi benchAY 2017-18Partly Allowed

• Girish Vrajlal Soni Vs. Income Tax Officer, Ward-3(3)(1), Ahmedabad

  SMC Bench, Ahmedabad benchAY 2017-18Allowed

• M/s. Ashapura Developers Vs. ACIT Circle-1, Thane

  Mumbai benchAY 2014-15Allowed