Director’s Statement Alone Insufficient to Levy Rs. 6 Crore Tax Addition: ITAT Ranchi

ACIT Vs Hallmark Suppliers Pvt Ltd (ITAT Ranchi) In ACIT vs. Hallmark Suppliers Pvt. Ltd., the ITAT Ranchi upheld the deletion of a Rs. 6 crore income addition, ruling that the director’s statement alone, without corroborative evidence, could not be the basis for assessment. The Income Tax Appellate Tribunal (ITAT), Ranchi, has dismissed an appeal by the Assistant Commissioner of Income Tax (ACIT), upholding a lower court’s decision to delete an addition of ₹6 crore to the income of Hallmark Suppliers Pvt. Ltd. The ruling reaffirms that an income declaration made by a director during...