Unjustified Addition under Section 68: Creditworthiness Established

ACIT Vs Hasmukhbhai Ravjibhai Ahir (ITAT Surat) ITAT Surat held that addition under section 68 of the Income Tax Act towards unexplained cash credit unjustified as creditworthiness of the loan giver established and transaction undertaken through banking channel. Facts- During the course of scrutiny assessment proceedings, AO observed that huge loan of Rs. 1,00,00,000/- has been shown from certain Sh. Ishwarbhai Dayarambhai Patel. There is no creditworthiness of the party. Accordingly, AO treated Rs. 1,00,00,000/- , as cash credit u/s 68 of the Act, as the assessee had not satisfactorily explai...