Cash Deposits During Demonetisation Accepted as Genuine – ITAT Deletes Section 68 & 14A Additions

ACIT Vs Mahendra Educational Pvt. Ltd. (ITAT Lucknow) Assessee, running 140 coaching centres across India, declared income of ₹9.60 crore. AO completed assessment u/s 143(3) at ₹11.47 crore by making two additions:  ₹1,84,67,187/- u/s 68 – Cash deposits during demonetisation period AO treated increased cash deposits as unexplained cash credits and alleged abnormal jump in sales. CIT(A) deleted the addition, and the Tribunal confirmed the deletion because: Books of account were audited and accepted; no defects found. Cash receipts are normal in this line of business (coaching fees). H...