https://www.taxtmi.com/caselaws?id=471760 Cash-payment disallowance under section 40A(3) requires evidence that an impugned cash payment was claimed as expenditure in the profit and loss account. Where audited books and the tax-audit report remain unrejected, incomplete rough cash records alone do not establish such a claim, particularly without verification from alleged recipients. Cash deposits during demonetisation are not unexplained income when unrejected books record sufficient cash balances and bank evidence identifies the specified bank notes deposited. Additions based only on doubts, surmises, or conjecture cannot displace a recorded and credible source of deposits. en-us Wed, 09 Apr 2025 00:00:00 +0530 Wed, 16 Sep 2026 19:00:18 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=471760 Cash-payment disallowance under section 40A(3) requires evidence that an impugned cash payment was claimed as expenditure in the profit and loss account. Where audited books and the tax-audit report remain unrejected, incomplete rough cash records alone do not establish such a claim, particularly without verification from alleged recipients. Cash deposits during demonetisation are not unexplained income when unrejected books record sufficient cash balances and bank evidence identifies the specified bank notes deposited. Additions based only on doubts, surmises, or conjecture cannot displace a recorded and credible source of deposits. Case-Laws Income Tax Wed, 09 Apr 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=471760