Case Law Details
A.P. Refinery Pvt. Ltd. Vs DCIT (ITAT Chandigarh)
The issue before us relates to addition made to the income of the assessee on account of cash found short with the assessee. Cash short, at the most represents expenses / outgoings out of cash available with the assessee not accounted for in the books of the assessee.
Such unaccounted expenses are sourced from cash available with the assesee. How therefore can they be treated or deemed to be income of the assessee u/s 69/69B/69C of the Act when the said sections deem investments/money, the source of which the assessee offers no explanation about, as income of the assessee.
We therefore hold that there is no case for making any addition on account of cash found short with the assessee and the addition so made of Rs.9,06,522/- is directed to be deleted.
FULL TEXT OF THE ITAT JUDGEMENT
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