ITAT Deletes Demonetization Cash Deposit Addition as Sales Were Recorded in Books

ITO Vs Greyline Knitwear (ITAT Chandigarh) In the case of Income Tax Appellate Tribunal involving Assessment Year 2017-18, the Revenue challenged the order of the Commissioner of Income Tax (Appeals), NFAC, deleting an addition of Rs.82.40 lakh made by the Assessing Officer on account of cash deposits during the demonetization period. The assessee, a resident firm engaged in manufacturing and trading of garments and hosiery goods, had deposited Rs.82.40 lakh in cash during demonetization. During scrutiny assessment, the assessee explained that the deposits were sourced from cash sales and furn...