Directors’ Cash Deposits Not Taxable in Company Hands: ITAT Deletes ₹10.5 Lakh Addition

Adarsh Nursing Institute Private Limited Vs ITO (ITAT Raipur) Directors’ Cash Deposits Can’t Be Taxed in Company’s Hands – Share Capital from Directors Explained — ITAT Deletes ₹10.5 Lakh Addition for Wrongly Applying Section 68 Raipur Tribunal deleted an addition of ₹10,50,000 made u/s 68 on account of share application money received from two directors. AO had treated cash deposits made by the directors into their own bank accounts (₹3.5 lakh & ₹7 lakh) before issuing cheques to the company as unexplained cash credits, doubting their ability to invest because they e...