Opportunity to furnish unsecured-loan confirmations is required before reassessment initiation; proceedings require fresh consideration after taxpayer...
Under-reporting on a first reassessment return attracts penalty, while enhanced misreporting penalty requires proof of a statutory misreporting catego...
AO accepted assessee company's books of accounts and net profit disclosed therein. However, AO treated cash deposits in bank accounts during demonetization period as unexplained cash credits u/s 68, rejecting assessee's explanation that deposits were from business receipts recorded in books. ITAT held AO cannot accept book results but reject transactions explaining cash availability on 08.11.2016. Cash book showed cash-in-hand of Rs. 12,00,442.54 on 08.11.2016 was consistent with pre and post-demonetization period. No justification to treat deposits as unexplained credits u/s 68. Assessee's appeal allowed.
AO accepted assessee company's books of accounts and net profit disclosed therein. However, AO treated cash deposits in bank accounts during demonetization period as unexplained cash credits u/s 68, rejecting assessee's explanation that deposits were from business receipts recorded in books. ITAT held AO cannot accept book results but reject transactions explaining cash availability on 08.11.2016. Cash book showed cash-in-hand of Rs. 12,00,442.54 on 08.11.2016 was consistent with pre and post-demonetization period. No justification to treat deposits as unexplained credits u/s 68. Assessee's appeal allowed.
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
TaxTMI 
of 4915 
