https://www.taxtmi.com/caselaws?id=769306 The ITAT Pune upheld the PCIT's revision order under section 263, directing the AO to examine unsecured loans under section 68. The AO had failed to verify the identity, creditworthiness, and genuineness of transactions despite receiving confirmation letters from the assessee. The ITAT noted that confirmation letters only establish identity but not creditworthiness or genuineness. The AO should have called for financial statements, income tax returns, and bank statements of creditors and issued notices under sections 133(6) or 131 if necessary. The assessee's contention that section 263 cannot be invoked after approval under section 153D was rejected since the approval order did not consider the unsecured loans issue. The appeal was dismissed. en-us Mon, 21 Apr 2025 00:00:00 +0530 Wed, 23 Apr 2025 09:09:32 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=769306 The ITAT Pune upheld the PCIT's revision order under section 263, directing the AO to examine unsecured loans under section 68. The AO had failed to verify the identity, creditworthiness, and genuineness of transactions despite receiving confirmation letters from the assessee. The ITAT noted that confirmation letters only establish identity but not creditworthiness or genuineness. The AO should have called for financial statements, income tax returns, and bank statements of creditors and issued notices under sections 133(6) or 131 if necessary. The assessee's contention that section 263 cannot be invoked after approval under section 153D was rejected since the approval order did not consider the unsecured loans issue. The appeal was dismissed. Case-Laws Income Tax Mon, 21 Apr 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=769306