Ledger Not Belonging to Assessee, Addition Made on Assumption Deleted

Sachin Vs DCIT (ITAT Delhi) In a significant relief for taxpayer Sachin, a gold bullion wholesaler, the Income Tax Appellate Tribunal (ITAT) Delhi has quashed additions made by tax authorities regarding alleged unexplained cash transactions for assessment years (AY) 2016-17 and 2017-18. The Tribunal’s decision, issued on March 5, 2025, underscores the critical importance of corroborative evidence and the adherence to principles of natural justice in income tax proceedings, particularly when relying on third-party seized documents. The Genesis of the Dispute The case originated from a search ...