https://www.taxtmi.com/caselaws?id=762397 Delhi HC ruled in favor of the assessee regarding unexplained credit under Section 68. The court held that while the assessee must prove creditworthiness and genuineness of transactions, the AO cannot reject explanations based solely on documentation flaws without evidence of subterfuge. Since Unitech's creditworthiness was undisputed, it had paid Rs. 67.5 crores, and both parties treated it as property advance with no tax advantage, the transaction was genuine. Minor documentation irregularities alone cannot establish that apparent transactions are unreal without supporting material indicating disguised taxable income. en-us Tue, 12 Nov 2024 00:00:00 +0530 Sat, 30 Nov 2024 08:41:55 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=762397 Delhi HC ruled in favor of the assessee regarding unexplained credit under Section 68. The court held that while the assessee must prove creditworthiness and genuineness of transactions, the AO cannot reject explanations based solely on documentation flaws without evidence of subterfuge. Since Unitech's creditworthiness was undisputed, it had paid Rs. 67.5 crores, and both parties treated it as property advance with no tax advantage, the transaction was genuine. Minor documentation irregularities alone cannot establish that apparent transactions are unreal without supporting material indicating disguised taxable income. Case-Laws Income Tax Tue, 12 Nov 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=762397