https://www.taxtmi.com/caselaws?id=450941 The ITAT Jodhpur allowed the assessee's appeal on both grounds. First, the tribunal deleted a lumpsum disallowance of Rs. 5 lac for expenses supported by self-made slips and kaccha bills, noting that such documentation doesn't automatically render expenses non-genuine when the AO failed to identify specific irregularities. The tribunal emphasized that kaccha bills often indicate necessity and urgency of expenditure. Second, regarding deemed interest on interest-free loans, the tribunal found no addition warranted as the assessee had sufficient non-interest bearing funds available, following SC precedent in Reliance Industries Ltd. that permits presumption of interest-free fund utilization when adequate such funds exist. en-us Wed, 13 Mar 2024 00:00:00 +0530 Sat, 16 Mar 2024 07:50:57 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=450941 The ITAT Jodhpur allowed the assessee's appeal on both grounds. First, the tribunal deleted a lumpsum disallowance of Rs. 5 lac for expenses supported by self-made slips and kaccha bills, noting that such documentation doesn't automatically render expenses non-genuine when the AO failed to identify specific irregularities. The tribunal emphasized that kaccha bills often indicate necessity and urgency of expenditure. Second, regarding deemed interest on interest-free loans, the tribunal found no addition warranted as the assessee had sufficient non-interest bearing funds available, following SC precedent in Reliance Industries Ltd. that permits presumption of interest-free fund utilization when adequate such funds exist. Case-Laws Income Tax Wed, 13 Mar 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=450941