Tribunal Upholds CIT(A) Decision: Assessee's Cash Deposits During Demonetization Explained, Revenue's Appeal Dismissed.

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....The assessee's unexplained cash credits u/s 68 were deleted by the CIT(A) after accepting the submissions that the cash receipts from various sources like cash sales, realization of outstanding debtors, and current year debtors matched with the VAT returns. The Tribunal noted that the assessee explained the cash deposits in specified bank notes (SBNs) received during demonetization, arising from cash sales during the relevant assessment year, realization of outstanding debtors from previous years, and current year debtors, as per the books of accounts. The assessee reconciled the cash sales, outstanding debtors with the VAT returns. Although the turnover increased significantly, the cash realization through sales and debtors was not abnorma.........