No Addition u/s 68 can made, in respect of any investment, loan, or advance not credited during the year under consideration.
Hon’ble ITAT of Delhi, in the case of M/s Technosys Integrated Solutions Pvt Ltd, ITA No. 4250/Del/2024, AY 2018-19, has held that no addition u/s 68 can made, in respect of any investment, loan, or advance not credited during the year under consideration.
In this case, the Hon’ble CIT(A) has disallowed the amount of Rs. 45.15 lakhs where the part amount of the investment was received by the Assessee in the succeeding year.
However, the creditworthiness and identity of the investors had already been verified in respect of the amount received during the year under consideration. Further, the CIT(A) had also accepted the genuineness of the transactions which happened during the succeeding year. However, only due to the reason that the amount had been received in the next year, the amount of investment was disallowed.
The Hon’ble ITAT has held that as the subject matter of addition has been found not credited during the year under consideration, no addition can be made in respect of the same.
The copy of the order is as under:
