Cash-Basis Professional Can’t Be Taxed on Mere 26AS Entries; ITAT Deletes Addition  

Rajesh Mohan Singh Hajari Vs ITO (ITAT Mumbai)

Reassessment u/s 147 was initiated on the basis of Form 26AS reflecting higher professional receipts than those offered by Assessee, a medical professional consistently following cash system of accounting. AO taxed ₹2,02,968 as accrued professional income & also denied Chapter VI-A deduction of ₹1.30 lakh in computation.

Tribunal held that where Assessee follows cash basis regularly & there is no change in method of

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