Tariff classification of vehicle gear components follows the specific gearing entry, displacing motor-vehicle parts classification and related liabili...
Necessary-party requirements limit impleadment of independent entities, while deferred consideration does not create an appealable adverse determinati...
Food supplement classification requires common parlance and authoritative tests, preventing treatment as proprietary Ayurvedic medicines without suppo...
Specified regulatory authority income receives conditional tax exemption, subject to non-commercial activity, unchanged income character, and return f...
Tax exemption for regulatory authority income applies retrospectively, subject to non-commercial activity, unchanged income sources, and return-filing...
The ITAT Mumbai held that the burden of proof regarding the identity, creditworthiness, and genuineness of loan creditors lies with the assessee. Once the assessee establishes the "nature and source" of credit entries, the onus shifts to the AO to rebut it with cogent evidence. In this case, the AO relied on a statement without cross-examining the individual, who later retracted the statement citing coercion. The AO's failure to summon and cross-examine the individual renders the addition u/s 68 unsustainable. The untested statement alone cannot justify the disallowance of interest expenditure. Citing precedent, the ITAT directed the deletion of the addition u/s 68 and allowed the interest expenditure after TDS deduction for the relevant assessment years.
The ITAT Mumbai held that the burden of proof regarding the identity, creditworthiness, and genuineness of loan creditors lies with the assessee. Once the assessee establishes the "nature and source" of credit entries, the onus shifts to the AO to rebut it with cogent evidence. In this case, the AO relied on a statement without cross-examining the individual, who later retracted the statement citing coercion. The AO's failure to summon and cross-examine the individual renders the addition u/s 68 unsustainable. The untested statement alone cannot justify the disallowance of interest expenditure. Citing precedent, the ITAT directed the deletion of the addition u/s 68 and allowed the interest expenditure after TDS deduction for the relevant assessment years.
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