Survey Disclosure Taxable as Business Income If Linked to Regular Operations: ITAT Bangalore

DCIT Vs Mangaldeep Chains (ITAT Bangalore) Bangalore ITAT: Business Link Decides Whether Survey Disclosure Attracts s. 115BBE- When “Undisclosed” Becomes “Business” – Tribunal Splits Verdict on Same Assessee’s Two Years The Revenue filed two appeals against CIT(A)’s orders treating the excess stock found during survey u/s 133A as business income instead of unexplained money/investment taxable u/s 69A/69B r.w.s. 115BBE. For A.Y. 2017-18, during survey, the partner admitted undisclosed income of ₹18.27 crore but failed to explain the source of such excess stock. ITAT observed th...