bgp IN THE HIGH COURT OF JUDICATURE AT BOMBAY ORDINARY ORIGINAL CIVIL JURISDICTION INCOME TAX APPEAL NO.993 OF 2009 Commissioner of Income Tax ..Appellant Vs. M/s.Dhanraj Mills Pvt. Ltd. ..Respondent Mr.P.S.Sahadevan for appellant. CORAM :- V.C.DAGA & J.P.DEVADHAR,JJ. DATE : 28TH JULY, 2009 P.C. 1. Heard. Following substantial questions of law sought to be raised in the appeal. a) Whether on the facts and in the circumstances of the case, the ITAT was correct in deleting the addition of Rs.28,35,485/- holding that there were corresponding counter entries when the said explanation was found to be false by the Assessing Officer ? b) Whether on the facts and in the circumstances of the case, the ITAT was right in law in deleting the addition of Rs.28,35,485/- on account of unexplained credit entries in its Karad Bank Account holding that there were corresponding counter debit entries ignoring the fact that the assessee could not establish the nexus between the debit and credit entries ? 2. During the course of hearing, we were taken through the order passed by the Tribunal, wherein in paragraph No.37, the Tribunal has recorded a finding that; 37. The second issue is regarding the unexplained investments of Rs. 28,35,485/-. The Assessing Officer found that there were a credit entries of Rs.28,35,485/- in the account of the assessee with Bank of Karad. These entries were not reflected in the accounts of the assessee. Therefore, it was treated as unexplained investments and added to the income of the assessee. But the Assessing Officer has ignored corresponding debit entries for identical amounts. Therefore, they are mutually setting off. The Assessing Officer is not justified to single out side entry of Rs.28,35,485/- and making an addition in the hands of the assessee company. Therefore, it is deleted. 3. Having seen the aforesaid finding, we do not see any fault with the same. The view taken is a reasonable and possible view. In this view of the matter, the appeal stands dismissed in limine with no order as to costs. (J.P.DEVADHAR,J.) (V.C.DAGA,J.)