https://www.taxtmi.com/caselaws?id=771577 ITAT Chandigarh held that cash deposits during demonetization period were adequately explained by the assessee. The assessee made total sales of Rs. 176.92 crores with cash sales of Rs. 5.42 crores (3.06% of total sales). AO did not reject books of accounts, purchases, or manufacturing activities. Complete documentation including cash book, purchase bills, sales vouchers, and debtor-creditor lists were provided. Since AO could not identify any defects in records and failed to examine parties to rebut claims, the cash deposit source was properly explained. However, protective addition issue was remanded to CIT(A) for hearing alongside related appeal of another entity. Revenue's appeal was partly allowed for statistical purposes. en-us Fri, 17 Jan 2025 00:00:00 +0530 Wed, 28 May 2025 08:26:35 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=771577 ITAT Chandigarh held that cash deposits during demonetization period were adequately explained by the assessee. The assessee made total sales of Rs. 176.92 crores with cash sales of Rs. 5.42 crores (3.06% of total sales). AO did not reject books of accounts, purchases, or manufacturing activities. Complete documentation including cash book, purchase bills, sales vouchers, and debtor-creditor lists were provided. Since AO could not identify any defects in records and failed to examine parties to rebut claims, the cash deposit source was properly explained. However, protective addition issue was remanded to CIT(A) for hearing alongside related appeal of another entity. Revenue's appeal was partly allowed for statistical purposes. Case-Laws Income Tax Fri, 17 Jan 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=771577