M/s Tedium Commercial Private Limited vs. Income Tax Officer
Parties Involved
Facts Summary
The assessee, M/s Tedium Commercial Private Limited, filed its return of income for the assessment year 2012-13 declaring total income at Rs. 'Nil'. The case was selected for scrutiny, and the Assessing Officer (AO) issued a notice under sections 143(2) and 142(1) of the Income Tax Act, 1961. The assessee provided evidence and submissions in response to the questionnaire. The AO noted that the assessee had issued share capital of Rs. 9,20,000/- and share premium of Rs. 4,62,60,000/-. Despite the assessee providing documents such as name and address, PAN, Form-18, bank statement, and audited balance sheet, the AO deemed the company bogus and added Rs. 4,71,80,000/- as unexplained cash credit to the income of the assessee. The Commissioner of Income Tax (Appeals) (CIT(A)) dismissed the assessee's appeal, confirming the AO's order. The assessee then approached the Income Tax Appellate Tribunal (ITAT).…
Decision in favour of
Assessee
Legal Issues
- 1. Whether the addition of Rs. 4,71,80,000/- by the AO as share capital and share premium under section 68 of the Income Tax Act, 1961 is valid.
Judgment Outcome
Decided in favour of Assessee.
Precedents Relied Upon
6 precedents cited in this judgement.
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