DVO Estimate Alone Not Enough for Unexplained Investment Addition: ITAT Bangalore

A K Kupparaju and Brothers Charitable Foundation Trust Vs ACIT (ITAT Bangalore) DVO Estimate Alone Can’t Create ‘Unexplained Investment’ – ITAT Deletes Additions on Hostel Construction In a significant ruling, the Bangalore ITAT deleted additions made against a charitable trust solely on the basis of a DVO valuation report, holding that a mere difference in estimated construction cost cannot justify addition u/s 69B unless the department proves actual unaccounted investment with cogent evidence. The assessee trust had constructed Boys’ and Girls’ Hostels over several years and ...