Penny-stock additions require transaction-specific evidence; general investigation material alone cannot establish undisclosed income or accommodation...
Transfer pricing comparability prioritises reliable external CUPs and foreign-currency LIBOR benchmarks for exports, borrowings and delayed receivable...
Section 153C satisfaction and seized electronic records sustained unexplained-investment addition, subject to proportionate ownership-share verificati...
ITAT allowed the appeal and deleted the addition under section 69A. The Tribunal held that entries in a diary seized from the company's premises, without recovery of cash or evidence of possession or ownership by the assessee, cannot sustain an addition as unaccounted income; mere notings in a third party's diary constituted insufficient evidentiary basis. One cheque item matched the books, but other alleged receipts were neither reflected in the assessee's nor the company's accounts and were recorded at the company's place; consequently, if any liability arises it pertains to the company, not the assessee, and section 69A could not be invoked against the assessee.
ITAT allowed the appeal and deleted the addition under section 69A. The Tribunal held that entries in a diary seized from the company's premises, without recovery of cash or evidence of possession or ownership by the assessee, cannot sustain an addition as unaccounted income; mere notings in a third party's diary constituted insufficient evidentiary basis. One cheque item matched the books, but other alleged receipts were neither reflected in the assessee's nor the company's accounts and were recorded at the company's place; consequently, if any liability arises it pertains to the company, not the assessee, and section 69A could not be invoked against the assessee.
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