Summary
- The Income Tax Appellate Tribunal in Lucknow has deleted a Rs.19,10,000 addition under Section 68 against Sita Ram Rastogi, affirming the legitimacy of cash deposits from recorded jewellery sales during demonetisation.
- The Tribunal also dismissed ad-hoc disallowances of Rs.15,688 and Rs.5,693 for maintenance expenses, citing lack of evidence from the Assessing Officer.
- The decision underscores that cash deposits linked to documented business transactions cannot be deemed unexplained without contrary evidence.
- This ruling reinforces the principle that tax assessments must be based on solid evidence rather than conjecture or arbitrary disallowances.
Join the discussion ā sign up to comment, upvote, and save articles.