https://www.taxtmi.com/caselaws?id=784095 The dominant issue was whether cash deposits and the opening cash-in-hand could be treated as unexplained cash credits under s. 68. The ITAT held that the assessee sufficiently explained the cash deposits as sourced from cash withdrawals during the year and from the opening cash balance reflected in the books; non-filing of return for the preceding AY could not, by itself, justify rejecting the books for the year in question, and any remedial action for the prior year had to be taken separately. Consequently, the AO was not justified in adding the cash deposits or treating the opening cash balance as unexplained under s. 68, and the additions were deleted. en-us Fri, 24 Oct 2025 00:00:00 +0530 Sat, 27 Dec 2025 13:34:15 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=784095 The dominant issue was whether cash deposits and the opening cash-in-hand could be treated as unexplained cash credits under s. 68. The ITAT held that the assessee sufficiently explained the cash deposits as sourced from cash withdrawals during the year and from the opening cash balance reflected in the books; non-filing of return for the preceding AY could not, by itself, justify rejecting the books for the year in question, and any remedial action for the prior year had to be taken separately. Consequently, the AO was not justified in adding the cash deposits or treating the opening cash balance as unexplained under s. 68, and the additions were deleted. Case-Laws Income Tax Fri, 24 Oct 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=784095