https://www.taxtmi.com/caselaws?id=292889 In search-related assessments, completed years cannot be disturbed under section 153A of the Income-tax Act without incriminating material, so concluded assessments for the earlier years were treated as unsustainable. For later years, alleged undisclosed turnover was assessed by reference to profit element, with the rate restricted to 2% on the material before the Tribunal. Additions for unexplained cash credits, gifts and loans were required to be re-examined on creditworthiness through a reasoned inquiry. Cash deposits in bank accounts could not automatically be treated as unexplained income merely because they exceeded declared turnover; where they were linked to unaccounted sales, only profit could be taxed. The article also notes that ownership additions for a vehicle and taxation of foreign company profits depended on the actual evidentiary basis. en-us Fri, 14 Aug 2020 00:00:00 +0530 Mon, 11 Jan 2021 19:14:50 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=292889 In search-related assessments, completed years cannot be disturbed under section 153A of the Income-tax Act without incriminating material, so concluded assessments for the earlier years were treated as unsustainable. For later years, alleged undisclosed turnover was assessed by reference to profit element, with the rate restricted to 2% on the material before the Tribunal. Additions for unexplained cash credits, gifts and loans were required to be re-examined on creditworthiness through a reasoned inquiry. Cash deposits in bank accounts could not automatically be treated as unexplained income merely because they exceeded declared turnover; where they were linked to unaccounted sales, only profit could be taxed. The article also notes that ownership additions for a vehicle and taxation of foreign company profits depended on the actual evidentiary basis. Case-Laws Income Tax Fri, 14 Aug 2020 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=292889