Skip to main content

Jai Bhola Trading Co. Pvt. Ltd. Vs. IT Ward 9(3), Kolkata

Case No: ITA No.507/KOL/2024
Court: INCOME TAX APPELLATE TRIBUNAL “ C” BENCH, KOLKATA
Date: 3/4/2025

Parties Involved

appellantJai Bhola Trading Co. Pvt. Ltd.
respondentIT Ward 9(3), Kolkata

Facts Summary

The assessee, Jai Bhola Trading Co. Pvt. Ltd., filed its return of income on 29.09.2012, declaring a total income of ₹4,16,751/-. The case was selected for scrutiny under Computer Assisted Scrutiny Selection (CASS), and statutory notices along with a questionnaire were issued. The assessee complied with these notices by providing ITR, audited accounts, bank statements, and replies from investors. However, the assessee did not comply with the summons issued by the Assessing Officer (AO) under Section 131 of the Act for the production of the directors of the subscriber companies for cross-examination. Consequently, the AO concluded that the assessee failed to explain the share capital/share premium, treating it as unexplained cash credit under Section 68 of the Act and making an addition to the income in the assessment dated 07.03.2015. The assessee appealed this decision before the Commissioner of Income-tax (Appeals) (CIT(A)), which was dismissed. The assessee then approached the Income Tax Appellate Tribunal (ITAT).

Decision in favour of

Assessee

Legal Issues

  • 1. Confirmation of addition of ₹1,43,00,000/- by the CIT(A) as made by the AO on account of share capital/share premium being unexplained cash credit under Section 68 of the Act.

Judgment Outcome

Decided in favour of Assessee.

Precedents Relied Upon

6 precedents cited in this judgement.

Opakhya LogoOpakhya

AI-powered tax-litigation platform. Find precedents using natural language, draft submissions in minutes, and run your entire case repository from a single secure workspace.

© 2025 Opakhya. All rights reserved.

Core Features

Additional Features

  • Smart Comments
  • Export Options
  • Quick Copy
  • Analytics Dashboard
Version 2.0.1Last updated: October 2025
Powered by AI & Machine Learning