https://www.taxtmi.com/caselaws?id=179755 Where an assessee's explanation for a cash credit is rejected, the receipt does not automatically become taxable income; the inference of undisclosed income must still be reasonable on the available materials. On the facts, a smaller cash deposit was upheld as assessable income because the false explanation and business circumstances supported an inference of secret profits, while a larger deposit made on the first day of the accounting year was not taxable because there was no reasonable material to show how such profit had arisen. The reference was therefore answered partly for the Revenue and partly for the assessee. en-us Thu, 05 Feb 1953 00:00:00 +0530 Wed, 09 Mar 2016 12:58:24 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=179755 Where an assessee's explanation for a cash credit is rejected, the receipt does not automatically become taxable income; the inference of undisclosed income must still be reasonable on the available materials. On the facts, a smaller cash deposit was upheld as assessable income because the false explanation and business circumstances supported an inference of secret profits, while a larger deposit made on the first day of the accounting year was not taxable because there was no reasonable material to show how such profit had arisen. The reference was therefore answered partly for the Revenue and partly for the assessee. Case-Laws Income Tax Thu, 05 Feb 1953 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=179755