Two-Day Loan Repayment Not Proof of Bogus Entry: Delhi HC

PCIT Vs Sperry Plast Ltd. (Delhi High Court) The Delhi High Court dismissed the Revenue’s appeal under Section 260A of the Income Tax Act, 1961, affirming the Income Tax Appellate Tribunal decision that deleted an addition made under Section 68. The appeal challenged the Tribunal’s order dated 04.06.2025 allowing the assessee’s appeal and deleting additions relating to unsecured loans. During remand proceedings, the Assessing Officer (AO) independently issued notices to the two loan creditors, which were duly served and responded to. For one creditor, the AO questioned creditworthiness o...