Commercial expediency not to be examined by AO while examining explanation provided u/s. 68

PCIT Vs Nucleus Steel Pvt Ltd (Delhi High Court) Delhi High Court held that AO is not required to examine the commercial expediency of the transaction while examining explanation provided by assessee under section 68 of the Income Tax Act. Facts- The Revenue had appealed the decision of the Commissioner of Income Tax (Appeals) [hereafter CIT(A)] allowing the respondent’s appeal against the assessment order dated 28.03.2013 in respect of the assessment year (AY) 2010-11. The Assessing Officer (hereafter AO) had made an addition to the income as returned by the respondent under Section 68 of t...