https://www.taxtmi.com/caselaws?id=763525 The ITAT Delhi dismissed the Revenue's appeal regarding additions towards cash deposits. The assessee, a cloth trader, demonstrated that cash deposits were directly linked to cash sales (less than 10% of total turnover) made to GST-registered retail shopkeepers. The CIT(A) found that over 40 parties confirmed cash sales, with similar patterns in preceding and subsequent assessment years. The books of accounts were not rejected, and cash sales were accepted for taxable income determination. The AO's simultaneous assessment of cash sales and addition of cash deposits constituted double taxation of the same transaction, violating basic accounting principles. The additions were properly cancelled by the CIT(A). en-us Wed, 18 Dec 2024 00:00:00 +0530 Sat, 21 Dec 2024 08:53:49 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=763525 The ITAT Delhi dismissed the Revenue's appeal regarding additions towards cash deposits. The assessee, a cloth trader, demonstrated that cash deposits were directly linked to cash sales (less than 10% of total turnover) made to GST-registered retail shopkeepers. The CIT(A) found that over 40 parties confirmed cash sales, with similar patterns in preceding and subsequent assessment years. The books of accounts were not rejected, and cash sales were accepted for taxable income determination. The AO's simultaneous assessment of cash sales and addition of cash deposits constituted double taxation of the same transaction, violating basic accounting principles. The additions were properly cancelled by the CIT(A). Case-Laws Income Tax Wed, 18 Dec 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=763525