https://www.taxtmi.com/caselaws?id=786176 Addition under section 68 challenged on grounds that creditor had low reserves, showed meagre income, and the loan was largely repaid within days. The court held that rapid repayment alone does not conclusively prove a sham loan; lack of interest on a short interlude loan is not determinative. The decision emphasised the need for inquiry into creditor credentials and relationship factors-for example, whether the creditor required a moneylender licence or whether a familial or friendly nexus existed-and concluded the appeal was dismissed on the recorded facts. en-us Tue, 03 Feb 2026 00:00:00 +0530 Thu, 05 Feb 2026 18:01:36 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=786176 Addition under section 68 challenged on grounds that creditor had low reserves, showed meagre income, and the loan was largely repaid within days. The court held that rapid repayment alone does not conclusively prove a sham loan; lack of interest on a short interlude loan is not determinative. The decision emphasised the need for inquiry into creditor credentials and relationship factors-for example, whether the creditor required a moneylender licence or whether a familial or friendly nexus existed-and concluded the appeal was dismissed on the recorded facts. Case-Laws Income Tax Tue, 03 Feb 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=786176