Source of cash deposits adequately explained – ITAT deletes addition

Manjeet Singh Vs ITO (ITAT Chandigarh) Introduction: The taxation landscape is replete with complexities and nuances. The case of Manjeet Singh vs. ITO, as decided by the ITAT Chandigarh, is one such testament. At the heart of this case lies the contention surrounding unexplained cash deposits and whether they stand validated when the assessee explains the source. Background of the Case: Manjeet Singh, the assessee, contested an addition of Rs. 23 lacs out of a total addition of Rs. 43 lacs made by the Assessing Officer (AO). The AO identified a cash deposit of Rs. 43 lacs in Singh’s ban...