Section 68 Loan Addition Solely on Third-Party Statement Fails if no Independent AO Inquiry

Ashish Girish Jain Vs ITO (ITAT Mumbai) ITAT Mumbai Deletes ₹15 Lakh Section 68 Addition: Loan Cannot Be Rejected Solely on Third-Party Statement Without Independent Inquiry The Mumbai Bench of the Income Tax Appellate Tribunal partly allowed the appeal of Ashish Girish Jain for AY 2010–11, deleting an addition of ₹15,00,000 under Section 68 in respect of an unsecured loan received from Mani Prabha Impex Pvt. Ltd., while upholding the validity of reassessment proceedings. On reopening, the Tribunal held that the reassessment under Section 147 was valid, as it was initiated within four ye...