https://www.taxtmi.com/caselaws?id=32900 Third-party book entries alone cannot sustain an income-tax addition without independent evidence linking the drafts to the assessee's income or unexplained expenditure; the Revenue must prove ownership of the amount, and the assessee need not disprove the third party's records. The Court also held that, where the disputed drafts were connected to business dealings and raw material purchases, the corresponding expenditure could still be allowed as business expenditure for an assessment year before the 1999 amendment, because the proviso inserted in section 69C did not apply retrospectively. The additions were therefore not upheld against the assessee. en-us Fri, 18 Jul 2008 00:00:00 +0530 Wed, 08 Apr 2009 00:00:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=32900 Third-party book entries alone cannot sustain an income-tax addition without independent evidence linking the drafts to the assessee's income or unexplained expenditure; the Revenue must prove ownership of the amount, and the assessee need not disprove the third party's records. The Court also held that, where the disputed drafts were connected to business dealings and raw material purchases, the corresponding expenditure could still be allowed as business expenditure for an assessment year before the 1999 amendment, because the proviso inserted in section 69C did not apply retrospectively. The additions were therefore not upheld against the assessee. Case-Laws Income Tax Fri, 18 Jul 2008 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=32900