https://www.taxtmi.com/article/detailed?id=17723 Unexplained credits in an assessee's books may be taxed as income for the relevant previous year when the assessee gives no satisfactory explanation of their nature and source. The burden rests on the person in whose books the credit appears. The Finance Act 2022 amendment extended the source-of-funds requirement to loans, borrowings and other liabilities credited in an assessee's books, addressing concerns about evasion through layered credit arrangements. This additional burden does not apply where the creditor is a venture capital fund or venture capital company registered with SEBI. en-us Sat, 07 Nov 2026 08:27:44 +0530 Sat, 07 Nov 2026 08:27:44 +0530 TaxTMI RSS Generator https://www.taxtmi.com/article/detailed?id=17723 Unexplained credits in an assessee's books may be taxed as income for the relevant previous year when the assessee gives no satisfactory explanation of their nature and source. The burden rests on the person in whose books the credit appears. The Finance Act 2022 amendment extended the source-of-funds requirement to loans, borrowings and other liabilities credited in an assessee's books, addressing concerns about evasion through layered credit arrangements. This additional burden does not apply where the creditor is a venture capital fund or venture capital company registered with SEBI. Articles Income Tax Sat, 07 Nov 2026 08:27:44 +0530 https://www.taxtmi.com/article/detailed?id=17723