Karnataka HC Dismisses Revenue Appeal on Abnormal Cash Sales During Demonetization

PCIT Vs Aura Jewels (Karnataka High Court) Karnataka High Court Upholds ITAT Order on Demonetisation-Day Cash Sales The Karnataka High Court has dismissed an appeal filed by the Principal Commissioner of Income Tax (PCIT), thereby upholding the Income Tax Appellate Tribunal (ITAT) order in the case of PCIT Vs Aura Jewels. The controversy centered on an addition of ₹6.61 crore made by the Assessing Officer (AO) under Section 68 of the Income Tax Act, 1961, following a surge in cash sales on November 8, 2016, the day the demonetisation of high-value currency notes was announced. The Assessee, ...