https://www.taxtmi.com/caselaws?id=768494 The ITAT Mumbai ruled against the revenue in a case involving additions under section 69C for cash transactions related to transfer and posting of PWD engineers. The AO made additions based solely on statements recorded during search operations without corroborative evidence. The tribunal held that the AO violated principles of natural justice by denying the assessee's request for cross-examination of witnesses whose statements formed the basis of additions. Citing precedents including Andaman Timber Industries v SC and ACIT vs. Lata Mangeshkar, the tribunal emphasized that orders based on disputed statements without allowing cross-examination are legally unsustainable, and seized materials without corroborative evidence cannot constitute primary direct evidence. en-us Fri, 04 Apr 2025 00:00:00 +0530 Tue, 08 Apr 2025 08:29:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=768494 The ITAT Mumbai ruled against the revenue in a case involving additions under section 69C for cash transactions related to transfer and posting of PWD engineers. The AO made additions based solely on statements recorded during search operations without corroborative evidence. The tribunal held that the AO violated principles of natural justice by denying the assessee's request for cross-examination of witnesses whose statements formed the basis of additions. Citing precedents including Andaman Timber Industries v SC and ACIT vs. Lata Mangeshkar, the tribunal emphasized that orders based on disputed statements without allowing cross-examination are legally unsustainable, and seized materials without corroborative evidence cannot constitute primary direct evidence. Case-Laws Income Tax Fri, 04 Apr 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=768494