https://www.taxtmi.com/caselaws?id=775151 ITAT Chandigarh dismissed revenue's appeal and partly allowed assessee's cross-objection. Regarding addition u/s 68 for unaccounted receipts of Rs. 204.57 lacs, the tribunal reduced the gross profit estimation from 6% to 3%, following precedent from earlier assessment years with similar facts. The AO was directed to re-compute accordingly. The tribunal deleted additions for alleged loans and interest income made solely on loose sheets without corroboration. These documents lacked the assessee's name or connection to their concerns, with no entries matching the regular books or seized cash books. The tribunal held that additions cannot be based on mere presumptions or assumptions. Since the case involved alleged loan granted rather than unexplained cash credit, Section 68 provisions were inapplicable. The loose sheets were deemed "dumb documents" insufficient to sustain any additions. en-us Mon, 02 Jun 2025 00:00:00 +0530 Mon, 21 Jul 2025 08:43:44 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=775151 ITAT Chandigarh dismissed revenue's appeal and partly allowed assessee's cross-objection. Regarding addition u/s 68 for unaccounted receipts of Rs. 204.57 lacs, the tribunal reduced the gross profit estimation from 6% to 3%, following precedent from earlier assessment years with similar facts. The AO was directed to re-compute accordingly. The tribunal deleted additions for alleged loans and interest income made solely on loose sheets without corroboration. These documents lacked the assessee's name or connection to their concerns, with no entries matching the regular books or seized cash books. The tribunal held that additions cannot be based on mere presumptions or assumptions. Since the case involved alleged loan granted rather than unexplained cash credit, Section 68 provisions were inapplicable. The loose sheets were deemed "dumb documents" insufficient to sustain any additions. Case-Laws Income Tax Mon, 02 Jun 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=775151