ITAT Rejects Bogus Debtors Theory: Rs. 65.19 Lakh Addition Deleted for Lack of Evidence

Adhishwar Nivesh Pvt. Ltd. Vs ACIT (ITAT Delhi) Bogus Sundry Debtors Theory Collapses: ITAT Deletes ₹65.19 Lakh Addition Based on Past-Year Presumptions AO treated sundry debtors of ₹26.05 lakh relating to AY 2014-15 & ₹39.14 lakh relating to AY 2015-16 aggregating to ₹65.19 lakh as fictitious investments, relying heavily on observations made in earlier year that Assessee was a mere name lender & business transactions were sham. CIT(A) upheld the addition, also rejecting Assessee’s objection on limited scrutiny. Tribunal noted that for AY 2015-16, trade receivables as on 31.0...