Income Tax : This guide explains when penalties can be imposed under various provisions of the Income-tax Act, 1961. It also outlines the appli...
Income Tax : This guide explains how unexplained cash credits under Section 68 and related provisions can attract steep taxation under Section ...
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 : ITAT Kolkata deleted the Section 68 addition, holding that share application money already assessed in subscribers' hands cannot b...
Income Tax : Calcutta HC dismissed the Revenue's appeal after the remand report confirmed the disputed receipt was sale proceeds of investments...
Income Tax : ITAT Delhi held Section 68 cannot apply to sale proceeds of disclosed investments already recorded in books. Revenue's appeals wer...
Income Tax : ITAT Delhi held Section 68 inapplicable where shares were disclosed in an earlier year and sale proceeds were already offered as i...
Income Tax : ITAT Agra held Section 44AD could not apply where turnover exceeded the limit, adopted past profit history, allowed telescoping an...
Income Tax : CBDT has instructed tax officers to uniformly apply Sections 68 to 69D and Section 115BBE after a C&AG audit found inconsistencies...
Income Tax : Assessing Officers should follow the sequence as noted below for applying provisions of section 68 of the Act: Step 1: Whether the...
ITAT Visakhapatnam remitted the appeal back to the CIT(A) after an ex-parte order, emphasizing need for assessee’s opportunity to be heard in a case involving protective additions under Section 68.
ITAT Nagpur set aside a tax addition of ₹15 lakh under Section 68 against Annuva Infrastructure Pvt. Ltd., ruling that the company had sufficiently discharged its burden by providing comprehensive documentation, including bank statements and confirmations, to prove the share capital transaction was genuine.
The ITAT Agra set aside the addition of ₹34.45 crore under Section 41(1) against Ginni Filaments, ruling that the evidence (creditor confirmations, invoices, and payment proof) must first be verified by the AO.
The Court upheld ITAT and CIT(A) findings that jewellery cash sales on the eve of demonetization were genuine and supported by invoices and stock records, dismissing Section 68 addition of ₹6.61 crore.
Agra ITAT deleted addition under Section 68, ruling that gifts from sisters (Sharad Maheshwar) were genuine. The Tribunal held the department cannot reject gifts solely because the donor’s tax return was not scrutinized.
The ITAT Agra set aside an ex-parte order dismissing a tax appeal, ruling that the CIT(A) must adhere to Section 250(6) by providing a reasoned order on the merits of the additions, even if the assessee is non-cooperative.
The ITAT Ahmedabad upheld the deletion of a Rs.2.23 crore addition made under Section 68, ruling that the assessee had fully discharged the onus of proving the identity, genuineness, and creditworthiness of the unsecured loan creditors. Since complete evidence (confirmations, PAN, ITRs, bank statements) was filed and no adverse material was found, the addition could not be sustained.
The ITAT partially allowed the assessee’s appeal, deleting Rs.26.16 lakh of the unexplained cash deposit added under Section 68 for the demonetisation period. The ruling emphasizes that tax authorities should make a fair estimation when the assessee’s explanation has partial merit, even if the documentary proof is insufficient to justify the whole claim.
In a case involving a slum rehabilitation developer who did not file a return or maintain books, ITAT Pune applied a 12% estimated net profit rate on total gross receipts of Rs.1,93,64,405 to compute taxable income. This decision provides a precedent for estimating income in the construction sector where audited accounts are unavailable, allowing for usual business deductions.
The ITAT deleted a ₹78 lakh addition made under Section 68 for alleged accommodation entries from two companies, ruling the issue was covered by multiple binding coordinate bench decisions. Following prior judgments, the Tribunal held that M/s Jay Jyoti India Pvt. Ltd. and related entities were genuine concerns, thus the cash credit addition could not be sustained.
