No Section 68 Addition in Partnership Firm for Partners’ Capital Accounts: ITAT Ahmedabad

ITO Vs Samvatt Properties LLP (ITAT Ahmedabad) The Income Tax Appellate Tribunal (ITAT) Ahmedabad dismissed the appeal filed by the Revenue against the order of the Commissioner of Income Tax (Appeals), which had deleted the addition of ₹2.62 crore in the case of Samvatt Properties LLP. The case revolved around the applicability of Section 68 of the Income Tax Act, 1961, regarding the unexplained credit of capital introduced by partners into the firm. The Assessing Officer had initially added the amount as unexplained cash credit under Section 68. However, the CIT(A) overturned this, ruling ...