https://www.taxtmi.com/caselaws?id=203457 In a reassessment of share application money credits, the HC held that under s. 68 the assessee must satisfactorily explain the nature and source of sums credited in its books by proving the identity and existence of the subscriber entities, their capacity, and the genuineness of the transaction. Mere filing of confirmation letters was insufficient where enquiries showed the purported subscriber companies were non-existent, and no books of account or directors were traceable; additionally, the cheques were issued only on the very date the credits were recorded, undermining genuineness. The HC quashed the ITAT's contrary order and upheld addition of the credits as unexplained income, deciding in favour of the revenue. en-us Thu, 11 Oct 2007 00:00:00 +0530 Sat, 10 Jan 2026 12:02:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=203457 In a reassessment of share application money credits, the HC held that under s. 68 the assessee must satisfactorily explain the nature and source of sums credited in its books by proving the identity and existence of the subscriber entities, their capacity, and the genuineness of the transaction. Mere filing of confirmation letters was insufficient where enquiries showed the purported subscriber companies were non-existent, and no books of account or directors were traceable; additionally, the cheques were issued only on the very date the credits were recorded, undermining genuineness. The HC quashed the ITAT's contrary order and upheld addition of the credits as unexplained income, deciding in favour of the revenue. Case-Laws Income Tax Thu, 11 Oct 2007 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=203457