Only Profit Element Taxable on Cash Deposits & Unsecured Loans: ITAT Rajkot

Manishkumar Jadulal Thakkar Vs ITO (ITAT Rajkot) Only Profit Element Taxable on Cash Deposits & Unsecured Loans – ITAT Rajkot Restricts Addition to 10% Instead of Entire ₹20 Lakhs The Rajkot Bench of the ITAT partly allowed the assessee’s appeal in a reassessment for AY 2012-13 involving additions on account of interest-free unsecured loan of ₹13 lakhs and cash deposits of ₹7 lakhs (total ₹20 lakhs). The Assessing Officer had treated ₹13 lakhs as unexplained investment u/s 69 and ₹7 lakhs as unexplained money u/s 69A, which was confirmed by the CIT(A). Before the Tribunal, ...