Income Tax : The Tribunal held that cash deposits during demonetisation cannot be treated as unexplained when backed by audited books, invoices...
Income Tax : ITAT Bangalore held that profit cannot be estimated arbitrarily when regular books of account are maintained and not rejected unde...
Income Tax : A large spousal gift exemption was denied due to failure in proving genuineness, creditworthiness, and source of funds. The ruling...
Income Tax : Income without satisfactory explanation is taxed at a special high rate under Section 115BBE. The provisions place strict liabilit...
Income Tax : ITAT held spousal gift taxable under Section 68 due to lack of evidence on genuineness, bank trail, and donor capacity despite Sec...
Finance : The Supreme Court upheld a Will executed in favour of the testator’s sister despite objections from his wife and children. The C...
Income Tax : Tribunal reiterated that credits brought forward from earlier financial years cannot ordinarily be taxed under Section 68 in subse...
Goods and Services Tax : Allahabad High Court ruled that while authorities could verify documents during transit, absence of an e-Tax Invoice did not confe...
Income Tax : The Tribunal observed that the assessee had repaid the unsecured loan along with interest after deducting TDS and the lender had o...
Income Tax : Tribunal ruled that future projections under DCF method cannot be tested solely against later actual financial performance. It obs...
Income Tax : Assessing Officers should follow the sequence as noted below for applying provisions of section 68 of the Act: Step 1: Whether the...
The Telangana High Court held that a Section 148 notice issued for AY 2017-18 was invalid and barred by the six-year limitation under the first proviso to Section 149. Reopening assessments beyond the prescribed period is impermissible.
ITAT restored Rs. 20 Cr in unsecured loans, interest, and squared-up loans for fresh verification, noting CIT(A) erred by deleting additions at the stroke of a pen. Large new loans and substantial repayments required independent checks on purpose and creditworthiness. The ruling reinforces that appellate deletion without inquiry violates Rule 46A and legal principles under sections 68 and 69.
The Tribunal observed that identity, creditworthiness, and genuineness were proven through confirmations, returns, and banking trails, and the AO failed to conduct enquiries under Sections 133(6) or 131. It also held that the ₹6.45 lakh loan difference belonged to past years, making the entire ₹22.45 lakh addition unsustainable.
The Tribunal held that once purchases are proven bogus, the entire amount must be added back, rejecting the CIT(A)’s 8% profit estimation. The ruling confirms that unexplained expenditure cannot be allowed under section 69C.
The Tribunal ruled that issuing a Section 143(2) notice before communicating reasons for reopening deprives the assessee of its statutory right to object. This violation invalidated the entire reassessment for the second year. The decision underscores that procedural fairness in reopening is a statutory mandate, not optional.
The Tribunal held that cash deposits were fully supported by stock records and sales invoices, proving they were genuine business receipts. It ruled that Section 68 cannot apply to recorded turnover already taxed.
The assessee furnished PANs, bank statements, and confirmations proving the genuineness of share capital and loan transactions, leading to dismissal of the Revenue appeal. Both CIT(A) and Tribunal confirmed that repayment and identity verification are sufficient. This reinforces legal certainty in documented transactions under Section 68.
Rajasthan High Court held that discretionary remedy claimed by the petitioner not granted as it is a case which involves fraudulent availment of GST Input Tax Credit exceeding Rs. 100 Crore. Accordingly, writ petition dismissed.
The Tribunal held that the loan could not be treated as unexplained when the assessee had furnished complete documentary evidence. The authorities failed to conduct further inquiry or rebut the lender’s confirmation. The ruling emphasizes that additions under Section 68 cannot be made solely on suspicion.
The ITAT ruled that unexplained cash credit cannot be added under Section 68 when the assessee furnishes full documentation, setting aside the addition of ₹15 lakh and related interest disallowance.
