Pre-amendment reassessment limitation bars late notices under the preserved regime, invalidating consequential reassessment for affected earlier asses...
Cash-sales explanations for bank deposits require documentary reconciliation; reassessment notice survived where effective response time was available...
Functional comparability in transfer pricing prevents ad hoc arm's length adjustments where functions, assets, risks and reliable comparables are unes...
ITAT upheld the CIT(A)'s deletion of an income addition where the AO had disallowed capital introduced by a partner as unexplained income. The Tribunal found the assessee established identity and capacity of the creditor (the partner) and that absence of interest payments to a company did not demonstrate transaction sham; alternative explanations (e.g. borrower's poor finances) could account for nonpayment. The AO failed to discharge the burden of proving the funds originated from the firm rather than the partner or that the transaction was a colourable device. In consequence the addition lacked sufficient evidentiary foundation and the Revenue's ground was rejected.
ITAT upheld the CIT(A)'s deletion of an income addition where the AO had disallowed capital introduced by a partner as unexplained income. The Tribunal found the assessee established identity and capacity of the creditor (the partner) and that absence of interest payments to a company did not demonstrate transaction sham; alternative explanations (e.g. borrower's poor finances) could account for nonpayment. The AO failed to discharge the burden of proving the funds originated from the firm rather than the partner or that the transaction was a colourable device. In consequence the addition lacked sufficient evidentiary foundation and the Revenue's ground was rejected.
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
TaxTMI 
of 4918 
