Charitable trust income application permits verified capital expenditure but rejects deferred pre-operative claims and requires reconsideration of con...
Reinsurance premium deductions require established regulatory breaches, while independently acquired software qualifies within the computer depreciati...
Rectification of mistake remains limited to self-evident record errors, preventing merits review through miscellaneous applications and preserving fin...
Tender creditworthiness conditions may extend to de facto Promoter Directors, with post-participation challenges generally barred absent arbitrariness...
Corporate representation in PMLA summons proceedings permitted through an authorised signatory, subject to directors' continuing cooperation and atten...
The ITAT Mumbai, in a case involving addition u/s 68 for unexplained cash credit from loans taken from various parties, held that only loans taken during the current assessment year are relevant for consideration. Continuing loans from earlier years are not relevant for the current assessment year if additions were already made in those years. The genuineness of transactions u/s 68 needs to be proven only for credits recorded in the current assessment year. Repayment of loans taken during the current year demonstrates genuineness. The assessee provided relevant documents to prove transactions, and the AO's reliance on survey reports to analyze creditworthiness was deemed insufficient. The ITAT concluded that loans were taken and repaid through banking channels, and directed the AO to delete the proposed additions. The assessee's ground was allowed.
The ITAT Mumbai, in a case involving addition u/s 68 for unexplained cash credit from loans taken from various parties, held that only loans taken during the current assessment year are relevant for consideration. Continuing loans from earlier years are not relevant for the current assessment year if additions were already made in those years. The genuineness of transactions u/s 68 needs to be proven only for credits recorded in the current assessment year. Repayment of loans taken during the current year demonstrates genuineness. The assessee provided relevant documents to prove transactions, and the AO's reliance on survey reports to analyze creditworthiness was deemed insufficient. The ITAT concluded that loans were taken and repaid through banking channels, and directed the AO to delete the proposed additions. The assessee's ground was allowed.
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