https://www.taxtmi.com/caselaws?id=769556 ITAT Mumbai upheld CIT(A)'s decision regarding unexplained cash deposits under section 68. While AO was justified in invoking section 68 provisions due to assessee's failure to prove identity, creditworthiness and genuineness of parties, CIT(A) correctly applied 4% net profit estimation on total turnover instead of treating entire amount as addition. Tribunal held that once books are rejected under section 145(3), AO cannot rely on same books for additions and must determine income through flat profit rate estimation considering business conditions and similar enterprises. en-us Tue, 15 Apr 2025 00:00:00 +0530 Mon, 28 Apr 2025 08:35:07 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=769556 ITAT Mumbai upheld CIT(A)'s decision regarding unexplained cash deposits under section 68. While AO was justified in invoking section 68 provisions due to assessee's failure to prove identity, creditworthiness and genuineness of parties, CIT(A) correctly applied 4% net profit estimation on total turnover instead of treating entire amount as addition. Tribunal held that once books are rejected under section 145(3), AO cannot rely on same books for additions and must determine income through flat profit rate estimation considering business conditions and similar enterprises. Case-Laws Income Tax Tue, 15 Apr 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=769556