https://www.taxtmi.com/caselaws?id=774530 ITAT Mumbai dismissed Revenue's appeal regarding addition under Section 68 for unexplained unsecured loans and penalty under Section 271(1)(c). The assessee received share application money later converted to unsecured loan and complied with Section 68 conditions. The lending party was a duly incorporated company with regular ITR filings, sufficient shareholders' funds, and proper documentation including loan confirmations and TDS evidence. CIT(A) correctly verified the party's identity and banking transactions. AO relied solely on Inspector's report without independent verification. Since quantum addition was deleted, penalty was also quashed. Assessee's appeal allowed. en-us Tue, 08 Jul 2025 00:00:00 +0530 Thu, 10 Jul 2025 08:39:46 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=774530 ITAT Mumbai dismissed Revenue's appeal regarding addition under Section 68 for unexplained unsecured loans and penalty under Section 271(1)(c). The assessee received share application money later converted to unsecured loan and complied with Section 68 conditions. The lending party was a duly incorporated company with regular ITR filings, sufficient shareholders' funds, and proper documentation including loan confirmations and TDS evidence. CIT(A) correctly verified the party's identity and banking transactions. AO relied solely on Inspector's report without independent verification. Since quantum addition was deleted, penalty was also quashed. Assessee's appeal allowed. Case-Laws Income Tax Tue, 08 Jul 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=774530