ITAT Deletes Section 68 Addition as Loan Was Repaid Before Assessment

White Willow Vs ITO (ITAT Surat) The Income Tax Appellate Tribunal (ITAT), Surat allowed the assessee’s appeal against the order of the National Faceless Appeal Centre for Assessment Year 2014-15, which had upheld the addition of ₹1.50 crore under Section 68 on account of unsecured loans and the disallowance of interest expenditure of ₹7,18,581. The assessee, a partnership firm engaged in the construction business, had declared nil income. During scrutiny assessment, the Assessing Officer noted that the assessee had received unsecured loans of ₹70 lakh from Kangan Jewels Private Lt...