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Deputy Commissioner of Income Tax, Central Circle - 7(1) v. Yardley Investment and Trading Company Pvt. Ltd.

Case No: ITA No.4725/MUM/2025 & CO No.223/MUM/2025
Court: Income Tax Appellate Tribunal, 'G' Bench, Mumbai
Date: 1/2/2026

Parties Involved

appellantDeputy Commissioner of Income Tax, Central Circle - 7(1)
respondentYardley Investment and Trading Company Pvt. Ltd.

Facts Summary

The case pertains to the assessment year 2013-14. The assessee, Yardley Investment and Trading Company Pvt. Ltd., filed its return of income on 30.08.2013, declaring a total income of Rs.6,19,520/-. A search and seizure operation under section 132 of the Income Tax Act was conducted on 17.04.2018, covering the premises of the assessee. The assessee's business profile indicates it is engaged in investment and trading, primarily dealing with shares and securities. During the search, the books of account in Tally software were seized, and the Assessing Officer (AO) alleged that the assessee was involved in accommodation entry transactions. However, the assessee argued that it was only involved in investment and trading of shares and securities, and not in the sale and purchase of physical goods.

Decision in favour of

Assessee

Legal Issues

  • 1. Whether the material found during the search was incriminating material justifying the addition under section 68 of the Act.

Judgment Outcome

Decided in favour of Assessee.

Precedents Relied Upon

3 precedents cited in this judgement.

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