https://www.taxtmi.com/caselaws?id=801056 Recorded cash balance may explain bank deposits made during demonetisation where the cash in hand immediately before demonetisation exceeds the deposits and the cash book, bank entries and stock records contain no identified discrepancy. Section 68 permits scrutiny of the nature and source of credits, and the human-probabilities test allows examination beyond book entries, but neither justifies disregarding recorded cash solely through an estimated cash-sales ratio. Where no fictitious sale, unexplained deposit or defect in cash-flow records is identified, and the ratio is not an independent historical benchmark, the recorded balance adequately explains the deposits. The addition for alleged inflated cash sales was deleted. en-us Tue, 29 Sep 2026 00:00:00 +0530 Thu, 15 Oct 2026 05:44:09 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=801056 Recorded cash balance may explain bank deposits made during demonetisation where the cash in hand immediately before demonetisation exceeds the deposits and the cash book, bank entries and stock records contain no identified discrepancy. Section 68 permits scrutiny of the nature and source of credits, and the human-probabilities test allows examination beyond book entries, but neither justifies disregarding recorded cash solely through an estimated cash-sales ratio. Where no fictitious sale, unexplained deposit or defect in cash-flow records is identified, and the ratio is not an independent historical benchmark, the recorded balance adequately explains the deposits. The addition for alleged inflated cash sales was deleted. Case-Laws Income Tax Tue, 29 Sep 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=801056