https://www.taxtmi.com/caselaws?id=461827 ITAT Chennai upheld CIT(A)'s deletion of additions made by AO regarding unexplained cash deposits during demonetization period. The assessee, a jewellery business, explained increased cash deposits as revenue from sales with supporting documentation including sales bills, purchase bills, and stock details. ITAT held that mere increase in sales during demonetization cannot establish bogus nature when AO found no discrepancies in books of accounts. The tribunal noted increased jewellery purchases during demonetization was expected as people rushed to convert old notes. Regarding KYC requirements under Rule 114B, ITAT found no evidence of Rule 114B violations for sales exceeding Rs. 2 lakhs to single customers, rejecting AO's grounds for addition. en-us Fri, 05 Apr 2024 00:00:00 +0530 Thu, 01 May 2025 19:00:34 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=461827 ITAT Chennai upheld CIT(A)'s deletion of additions made by AO regarding unexplained cash deposits during demonetization period. The assessee, a jewellery business, explained increased cash deposits as revenue from sales with supporting documentation including sales bills, purchase bills, and stock details. ITAT held that mere increase in sales during demonetization cannot establish bogus nature when AO found no discrepancies in books of accounts. The tribunal noted increased jewellery purchases during demonetization was expected as people rushed to convert old notes. Regarding KYC requirements under Rule 114B, ITAT found no evidence of Rule 114B violations for sales exceeding Rs. 2 lakhs to single customers, rejecting AO's grounds for addition. Case-Laws Income Tax Fri, 05 Apr 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=461827