N.K. SAINI, A.M. constituting a Division Bench of I.T.A.T., Jaipur and the Honble President, I.T.A.T. nominated Shri G.C. Gupta, Honble Vice President, Ahmadabad Zone th and held as under:-
The assessee had discharged its onus by proving the identity and credit- worthiness of creditor-partners and the genuineness of the credit entries in the 2 account of the assessee-firm and accordingly the questions referred to me by the learned Members of Jaipur Bench have to be answered in favour of the assessee. I find that the assessee is also entitled to succeed on the legal issue of addition of credit entries prior to commencement of the business of the assessee-firm, as the ratio of decision of the Honble jurisdictional High Court in the case of CIT Vs. Kewal Krishan and Partners (supra) is applicable to the facts of the case of the assessee.
2. Therefore, in accordance with majority view, the appeal of the assessee is allowed. (Order pronounced in the open court on 16/12/2013). Sd/- Sd/- (HARI OM MARATHA) (N.K. SAINI) JUDICIAL MEMBER ACCOUNTANT MEMBER Jaipur, Dated : 16/12/2013 * Ranjan Copy forwarded to :-
1. Appellant- M/s Mahaveer Exports, Jaipur.
2. The Commissioner of Income Tax, Ajmer.
3. The CIT (A)
4. The CIT
5. The D/R Guard file (I.T.A. No. 937/JP/2011) By Order, AR ITAT Jaipur.
