https://www.taxtmi.com/caselaws?id=6963 An unexplained cash credit in the assessee's books may be treated as income from an undisclosed source where the assessee fails to prove the source, nature and character of the receipt. The burden remained on the assessee to give a satisfactory explanation, and the adverse inference was justified because the explanation was found unreliable and the receipt was not proved. The principle relied on was that, when a credit appears in the books and remains unexplained, income-tax authorities may treat the amount as taxable income. The Tribunal was therefore justified in bringing the sum to tax in the relevant assessment year, and the reference was answered against the assessee. en-us Fri, 23 Sep 1966 00:00:00 +0530 Sat, 07 Feb 2009 12:20:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=6963 An unexplained cash credit in the assessee's books may be treated as income from an undisclosed source where the assessee fails to prove the source, nature and character of the receipt. The burden remained on the assessee to give a satisfactory explanation, and the adverse inference was justified because the explanation was found unreliable and the receipt was not proved. The principle relied on was that, when a credit appears in the books and remains unexplained, income-tax authorities may treat the amount as taxable income. The Tribunal was therefore justified in bringing the sum to tax in the relevant assessment year, and the reference was answered against the assessee. Case-Laws Income Tax Fri, 23 Sep 1966 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=6963