https://www.taxtmi.com/caselaws?id=756633 The ITAT Delhi ruled in favor of the assessee regarding cash deposits during demonetization period. The AO had questioned abnormal increase in cash sales from 1.11.16 to 8.11.16 compared to other months. The tribunal held that sales were properly subjected to VAT with returns filed, stock statements furnished, and purchases adequately documented in registers. Since no allegation existed of receiving demonetized currency post-9.11.16, cash deposits were explained through proper book sources. The tribunal rejected AO's approach of restricting current year cash sales based on previous year figures, finding the addition wholly misconceived and without merit. en-us Wed, 01 May 2024 00:00:00 +0530 Wed, 07 Aug 2024 06:43:34 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=756633 The ITAT Delhi ruled in favor of the assessee regarding cash deposits during demonetization period. The AO had questioned abnormal increase in cash sales from 1.11.16 to 8.11.16 compared to other months. The tribunal held that sales were properly subjected to VAT with returns filed, stock statements furnished, and purchases adequately documented in registers. Since no allegation existed of receiving demonetized currency post-9.11.16, cash deposits were explained through proper book sources. The tribunal rejected AO's approach of restricting current year cash sales based on previous year figures, finding the addition wholly misconceived and without merit. Case-Laws Income Tax Wed, 01 May 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=756633