https://www.taxtmi.com/caselaws?id=762168 ITAT Ahmedabad allowed the assessee's appeal against rejection of books of accounts under section 145(3) and addition under section 68. The case involved cash deposits during demonetization period selected for scrutiny under CASS. AO rejected books citing anomalies in sales and cash figures compared to preceding year. ITAT held that AO cannot reject books based on mere financial analysis without identifying specific defects or discrepancies. Rejection requires patent, latent and glaring defects, not subjective assessment or conjectures. Since no actual defects were pointed out in book maintenance, rejection was improper and consequential additions were deleted. en-us Tue, 22 Oct 2024 00:00:00 +0530 Mon, 25 Nov 2024 10:29:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=762168 ITAT Ahmedabad allowed the assessee's appeal against rejection of books of accounts under section 145(3) and addition under section 68. The case involved cash deposits during demonetization period selected for scrutiny under CASS. AO rejected books citing anomalies in sales and cash figures compared to preceding year. ITAT held that AO cannot reject books based on mere financial analysis without identifying specific defects or discrepancies. Rejection requires patent, latent and glaring defects, not subjective assessment or conjectures. Since no actual defects were pointed out in book maintenance, rejection was improper and consequential additions were deleted. Case-Laws Income Tax Tue, 22 Oct 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=762168