This Digest of case laws is prepared by KSA Legal and AIFTP from judgements reported in BCAJ, CTR, DTR, ITD, ITR, ITR (Trib), Chamber's Journal, SOT, Taxman, TTJ, BCAJ, ACAJ, www.itatonline.org and other journals
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S. 69A : Unexplained money-Cash deposits-Demonetization-Petrol pump-Not violated any provision of law or any Government guidelines-Addition is deleted.

Nazir Ahmad v. ITO (2024) 230 TTJ 78 (UO)(Amritsar)(Trib)

S. 69A : Unexplained money-Cash deposit-Demonetization-Sufficient stock-Sales-Sales shown in VAT return-Addition is deleted.

R.M. Sales Corporation v ITO (2024) 230 TTJ 701 / 240 DTR 201 / 38 NYPTTJ 929 / 167 taxmann.com 679 (Amritsar)(Trib)

S. 69A : Unexplained money-Demonetisation-Bank notes-Complete record is maintained-Receipts from the customers cannot be assssed as unexplained.

ITO v. Mayurbhanj Central Cooperative Bank Ltd. (2024) 230 TTJ 655 / 240 DTR 17 / 38 NYPTTJ 807 (Cuttack)(Trib)

S. 68 : Cash credits-Brokerage on sales-Cannot be considered ad bogus-Books of account not rejected-Recovery from debtor-Advance given in earlier years-Cannot be assessed as cash credits-Business advances-Confirmations filed-Short term advances-Leger account and bank statement is filed-Cannot be assessed as cash credits-Payment made to purchase of goods-Not assessable as cash credits-Credit sales-Cannot be assessed as cash credits.

Trio Mercantile & Trading Ltd. v. ITO (2024) 230 TTJ 64 (UO)/ 167 taxmann.com 692 (Mum) (Trib)

S. 68 : Cash credits-Loan-Produced confirmation, PANs, bank statements and acknowledgements of IT returns of the lenders-Addition is deleted.

White Willow v. ITO (2023) 37 NYPTTJ 1154 / (2024) 230 TTJ 969 / 240 DTR 193 (Surat)(Trib)

S. 68 : Cash credits-Long tern capital gains-Sale of shares-Penny stock-General report of investigation wing-UD Ltd-Consideration received through online trading through BSE platform-Shares have been credited in the demat account and transferred out of demat account at the time of sale-Denial of exemption is not justified-Sale consideration cannot be assessed as cash credits.[S 10(38), 45, 68 69C]

Rohit Devendra Goyal v. ITO (2024) 230 TTJ 561 / 38 NYPTTJ 477 (Mum) (Trib)

S. 68 : Cash credits-Share application money-Filed copy of PAN card, share application form, allotment advices, relevant bank statements, returns for the relevant assessment year, audited financial statements, etc-Established identity and creditworthiness-Summons complied with-Reply to notice u/s 133(6)-Order of CIT(A) deleting the addition is affirmed. [S. 131, 133(6)]

DCIT v. Rabindra Enterprises (P) Ltd(2023) 37 NYPTTJ 1727 / (2024) 230 TTJ 852 / 208 ITR 349 (Kol)(Trib)

S. 68 : Cash credits-Accommodation entries-Entry operator-Dummy companies Statement of former director-Not specifying the name of the assessee-Filed confirmation letter, PAN, financial statements, copy of income tax return-Interest paid-Loan is treated as genuine-Addition is deleted. [S.131, 133(6)]

DCIT v. Jain Carrying Corporation (2024) 230 TTJ 589 / 38 NYPTTJ 546 (Jodhpur)(Trib)

S. 68 : Cash credits-Capital account-Partner-Difference-Matter remanded to the AO for verification-Sundry creditors-Filed confirmation-Addition is deleted-Unexplained investment-Project-Merely on the basis of report of the inspector addition cannot be made. [S. 69]

DCIT v. D.S. Developers (2024) 230 TTJ 25 / 238 DTR 369 / 38 NYPTTJ 141 (Jodhpur)(Trib)

S. 68 : Cash credits-Share capital-Share premium-Identity and genuineness is proved-Order of CIT (A) deleting the addition is affirmed-Reassessment-Change of opinion-Reassessment is quashed-Commercial decision-Subsidiary-Deemed company in which the public are interested-Provisions of Section 56(2)(viib) is not applicable [S. 2(18), 52(2)(viib), 147, 148]

Aadhaar Wholesale Trading & Distribution Ltd v. ACIT (2024) 230 TTJ 804 / 240 DTR 273 / 38 NYPTTJ 482/ 167 taxmann.com 526 (Mum)(Trib)