https://www.taxtmi.com/caselaws?id=465364 Where an assessee furnishes primary evidence proving the identity, creditworthiness and genuineness of share applicants, an addition under section 68 cannot be sustained merely on untested third-party material or suspicion. Here, the assessee produced share application records, confirmations, PAN details, tax returns, financial statements, bank statements and allotment documents, while the investors were shown to be existing companies and the payments moved through banking channels. The addition failed because the Assessing Officer did not make effective enquiry, did not confront adverse material, and denied cross-examination, rendering the evidentiary basis inadequate and the assessment vitiated by breach of natural justice. en-us Fri, 12 Jul 2019 00:00:00 +0530 Wed, 17 Dec 2025 14:12:37 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=465364 Where an assessee furnishes primary evidence proving the identity, creditworthiness and genuineness of share applicants, an addition under section 68 cannot be sustained merely on untested third-party material or suspicion. Here, the assessee produced share application records, confirmations, PAN details, tax returns, financial statements, bank statements and allotment documents, while the investors were shown to be existing companies and the payments moved through banking channels. The addition failed because the Assessing Officer did not make effective enquiry, did not confront adverse material, and denied cross-examination, rendering the evidentiary basis inadequate and the assessment vitiated by breach of natural justice. Case-Laws Income Tax Fri, 12 Jul 2019 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=465364