Search Additions Cannot Rest on Statements Alone; Corroborative Evidence Essential: Karnataka HC

Advertisement PCIT Vs Kanva Diagnostic Services Pvt Ltd (Karnataka High Court) Karnataka HC: Search Additions Cannot Rest on Statements Alone; Corroborative Evidence Essential for Suppression of Sales and Section 69A Additions The Karnataka High Court upheld the ITAT’s decision deleting additions made towards alleged suppression of sales and unexplained cash under Section 69A, reiterating that mere statements recorded during a search, without independent corroborative evidence, cannot justify tax additions. The Court noted that although the Revenue alleged that the assessee had suppre...