Case Laws on Section 68 of Income Tax, Cash Credit - Imp Judgements of HC & SC in favour of Assessee
*Got a notice from Income Tax on unexplained Cash Credit and don't know how to respond?* Here are some Interesting Landmark Judgements in favour of Assessee to your rescue upto some extent straightaway from festive vicinity #tax #unsecuredloan #caselaws #section68 #litigationsupport Section 68 of Income Tax Act 1961 - Unsecured Loans, Unexplained Cash Credit
CASH CREDIT [SECTION 68] define as any sum is found in the books of account of an assessee in any previous year and assessee has not provided any explanation of source or explanation provided by the assessee is not, in the opinion of an Assessing Officer satisfactory, the sum so credited in the books of account of assessee may be charged to income tax as the income of the assessee of that previous year.
Section 68 is a charging section, if it is applicable the assessee is not only liable to pay the taxes but also penalty under section 271(1) (c) of the Income Tax Act, 1961, which shall not be less than three times of tax evaded or concealed.
Above Video gives reference of Important Judgements held in favour of Assessee who were assessed with Charging Section 68 of Income Tax Act 1961