Cash Deposits Used for Son’s Credit Card Payments Explained – Addition & Penalty Deleted-ITAT Ahmedabad

Radha Chandrababu Panikar Vs ITO (ITAT Ahmedabad) Assessee, a non-filer of returns, was subjected to reassessment u/s 147 on information that cash deposits of ₹11.75 lakh were made in her bank account. AO passed ex parte order u/s 144 treating deposits as unexplained. Before NFAC, Assessee explained that deposits were sourced from loans given by her husband & brother & partly from tuition income. NFAC, however, confirmed the addition citing lack of corroborative evidence. Tribunal noted that Assessee had no regular taxable income in past or future. Bank statement showed that immediat...