Tag: creditworthiness
Assessees was not required to prove the “source of the source‟ of funds received as unsecured loans Prior to the amendment of Finance Act, 2022 In a recent judgment, Hon’ble Delhi High Court held that since the case related to prior to the amendment of Finance Act, 2022 …
Addition u/s 68 deleted as identity of loan givers established and assessee was not beneficiary as loan was repaid in subsequent year. In a recent judgment ITAT Mumbai deleted addition under section 68 as the assessee had furnished requisite material showing identity of loan givers and assessee was …
Sundry creditors are not loans or advances where creditworthiness to give advances is essential point for examination – ITAT In a recent judgment, the ITAT Lucknow has held that sundry creditors do not represent loans or advances taken by the assessee where creditworthiness to extending the advances are …
ITAT is required to examine correctness of the findings recorded by appellate authority and record conclusion why such findings are not acceptable In a recent judgment, the Hon’ble Calcutta High Court has held the ITAT over-turning the order passed by the appellate authority was required to examine the …
Finding recorded by lower authorities on the basis of evidence can not be interfered with by the third Appellate Court – High Court In a recent judgment, Hon’ble Guwahati High Court has held that finding once recorded by both the lower authorities on the basis of evidence with …
Capital generation capability not profit generation ability to be seen for investment – ITAT deleted addition u/s 68 In a recent judgment, ITAT Delhi deleted addition u/s 68 and held that tax authorities erred in believing that new investment can be made only on the basis of profit …
Identity capacity and genuineness of creditors fell apart when shareholder companies was found to be non-existent – High Court In a recent judgment, Hon’ble High Court of Chhattisgarh has confirmed the addition on account of share application money received from bogus shell companies observing that proof of identity …
Mere failure of creditor/ shareholder to appear no basis to make addition u/s 68 when assessee produced basic evidences – ITAT In a recent judgment, the ITAT Kolkata has set aside addition u/s 68 for fresh order without shifting onus upon assessee to produce the director of the …
Onus to prove source of source of a loan/borrowing mandatory from AY 2023-24 In a recent judgment, ITAT Raipur has held that under section 68, onus to prove source of source of a loan or borrowing is mandatory w.e.f. 01.04.2023 i.e. from A.Y 2023-24 ABCAUS Case Law Citation:ABCAUS …
CIT(A) was justified in considering surrounding circumstances, the normal human conduct of a prudent investor, the probabilities to judge creditworthiness of investors – High Court In a recent judgment, Hon’ble Calcutta High Court has held that surrounding circumstances, the normal human conduct of a prudent investor, the probabilities …
