ITAT Chandigarh ruled that cash gifts from close relatives, supported by affidavits and audited accounts, cannot be treated as unexplained income. The assessee’s appeal was allowed.
The ITAT confirmed an addition of Rs. 28 lakh under Section 69A, ruling that the assessee failed to substantiate the source of cash deposits made over four years. Burden of proof lies on the taxpayer to explain deposits.
ITAT dismissed appeals and upheld 271B penalties as the assessee failed to audit accounts despite turnover exceeding Rs. 1 crore. No reasonable cause was shown.
ITAT restricted unexplained cash addition from Rs.78 lakhs to Rs.7 lakhs, granting relief on demonetization deposits while maintaining that it is not a precedent-setting decision.
The appellate authority’s reliance on an overwriting-ridden postal report was rejected. The Court found no valid proof of service and restored the appeal for reconsideration. e Court held that the GST order was not proven to be served on the taxpayer, making the appeal within limitation. The ruling sets aside the dismissal and directs fresh adjudication on merits.
Delhi HC set aside the orders after finding that hearing notices were neither emailed nor properly served. The matter was remitted for a fresh decision with mandatory opportunity of hearing.
Assessee succeeded in cross-objection as reassessment lacked jurisdiction and Section 69C addition was inapplicable, confirming deletion of addition and quashing proceedings.
Tribunal held that assessment was void because no notice under Section 143(2) was issued, confirming that such omission cannot be cured and invalidates entire assessment.
Tribunal held that addition for alleged accommodation entry could not stand where AO made no independent verification. Genuine sales, banking-channel receipts and tax records supported deletion.
ITAT Bangalore set aside reassessment orders for AY 2015-16 to 2017-18, ruling that failure to issue mandatory notice under section 143(2) of the Income Tax Act invalidates the proceedings.
