https://www.taxtmi.com/caselaws?id=791416 An addition under section 69C for unexplained purchase expenditure is not sustainable where the purchases are accepted as genuine and are supported by bills, vouchers, import documents and banking-channel payments. Cash sales and subsequent bank deposits do not, by themselves, make the purchase source unexplained when substantial opening stock and business imports also support the transaction trail. At most, the identity of retail purchasers may remain in issue, but that does not justify a section 69C addition on these facts. The assessee therefore succeeded. en-us Mon, 04 May 2026 00:00:00 +0530 Mon, 11 May 2026 09:50:57 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=791416 An addition under section 69C for unexplained purchase expenditure is not sustainable where the purchases are accepted as genuine and are supported by bills, vouchers, import documents and banking-channel payments. Cash sales and subsequent bank deposits do not, by themselves, make the purchase source unexplained when substantial opening stock and business imports also support the transaction trail. At most, the identity of retail purchasers may remain in issue, but that does not justify a section 69C addition on these facts. The assessee therefore succeeded. Case-Laws Income Tax Mon, 04 May 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=791416