https://www.taxtmi.com/caselaws?id=471023 Outstanding trade creditors arising from material supplies and purchases, supported by bills and unrebutted reconciliations, are not unexplained cash credits merely because of discrepancies in creditors' accounts; the Section 68 addition was therefore deleted. Genuine purchases do not by themselves prevent disallowance where statutory restrictions on cash payments apply, so the cash-payment disallowance was restored. Relief from the peak-capital addition remained justified because audited books showed regular business deposits and withdrawals supported by available funds, although a limited residual addition was retained. en-us Wed, 17 Feb 2016 00:00:00 +0530 Tue, 18 Aug 2026 18:25:19 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=471023 Outstanding trade creditors arising from material supplies and purchases, supported by bills and unrebutted reconciliations, are not unexplained cash credits merely because of discrepancies in creditors' accounts; the Section 68 addition was therefore deleted. Genuine purchases do not by themselves prevent disallowance where statutory restrictions on cash payments apply, so the cash-payment disallowance was restored. Relief from the peak-capital addition remained justified because audited books showed regular business deposits and withdrawals supported by available funds, although a limited residual addition was retained. Case-Laws Income Tax Wed, 17 Feb 2016 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=471023