Repayment Breaks the 68 Chain: ITAT Mumbai Deletes ₹1 Cr Loan Addition

RAK Magnum Realty LLP Vs ITO (ITAT Mumbai) Mumbai ITAT deleted the addition of ₹1 crore made by AO u/s 68 & the related interest disallowance of ₹3,78,740/- u/s 69C. Assessee had taken loan from Duke Business Pvt Ltd, one of the entities linked to Praveen Jain. AO relied only on Investigation Wing material & statement of Praveen Jain without supplying any material to Assessee or permitting cross-examination. Assessee furnished confirmations, bank statements, TDS on interest & complete repayment through account-payee cheques, but AO ignored all evidences. Tribunal applied the Bo...