HIGH COURT OF CALCUTTA
Commissioner of Income-tax, Central – III v. Chandela Trading Co. (P.) Ltd.*
I. Section 69A of the Income-tax Act, 1961 – Unexplained moneys (Loan) – Assessment year 2005-06 – Whether where omission on part of creditors to subject themselves to enquiry initiated by revenue or non-furnishing of accounts by them could not lead to conclusion that creditors lacked identity – Held, yes – Whether where particulars of transactions with them furnished by assessee were uncontroverted, addition as undisclosed income was not justified – Held, yes [Para 7][In favour of assessee]
II. Section 69 of the Income-tax Act, 1961 – Unexplained investments (Share dealings) – Assessment year 2005-06 – Whether where payment was made by assessee for purchase of shares after expiry of accounting year and same was supported by bank statement, payment was not bogus and addition was not justified – Held, yes [Para 10][In favour of assessee]