Income Already Taxed Cannot Be Retaxed as Unexplained Cash Credit: Gujarat HC

CIT Vs Vishal Exports Overseas Limited (Gujarat High Court) Gujarat High Court dismissed appeals filed by the Income Tax Department against Vishal Exports Overseas Limited, upholding a common judgment of the Income Tax Appellate Tribunal (ITAT). The case, primarily for the assessment year 1998-99, involved the contentious issue of disallowing an amount of ₹ 70 lakh as unexplained cash credit under Section 68 of the Income Tax Act, 1961, which the Revenue argued represented bogus export sales. Factual Background Vishal Exports Overseas Limited, a manufacturer and exporter, had claimed benefit...