The High Court held that no addition under Section 68 could be sustained as the Revenue failed to produce material connecting the assessee with the cash deposited in another company’s bank account.
The High Court upheld the ITAT’s order after finding that the Revenue failed to establish any perversity in the concurrent factual findings regarding share capital, unsecured loans and earnest money.
The Supreme Court dismissed the Revenue’s challenge after the High Court held that the concurrent findings of the CIT(A) and ITAT on identity, genuineness and creditworthiness were not perverse.
The ITAT held that payments made to directors represented arranger fees and not prohibited sub-brokerage under SEBI Regulations. It deleted the entire disallowance under Section 37(1), finding no violation of law.
The High Court upheld the ITAT’s finding that the assessee had established the identity of creditors and the genuineness of loan transactions through banking channels. The Revenue’s appeal was dismissed.
The Tribunal held that compensation received under BSNL VRS-2019 qualifies for exemption under Section 10(10B) of the Income-tax Act. It directed the Assessing Officer to recompute the taxable income and issue the refund due to the assessee.
The Tribunal ruled that an Investigation Wing report alone cannot justify an addition under Section 68 without independent verification by the Assessing Officer. It upheld the genuineness of the share transactions based on documentary evidence produced by the assessee.
The ITAT held that the Assessing Officer was not justified in sustaining the addition once the assessee substantiated the source of the cash deposited. The Tribunal accepted the documentary evidence and deleted the addition under Section 69A.
The Tribunal ruled that ignoring the assessees additional evidence, including the registered valuers report, vitiated the appellate proceedings. It restored the issue to the Assessing Officer for a de novo assessment in accordance with law.
Learn who can apply for an advance ruling, applicable fees, withdrawal rules, and its binding effect under the Income-tax Act. The guide also explains the transition from AAR to the Board for Advance Rulings and the e-Advance Ruling Scheme.
