Agricultural Income Deletion Upheld While Cash Deposits During Demonetization Face Partial Scrutiny Under Section 68

ITAT partially allowed the appeal concerning disputed agricultural income and cash deposits during demonetization. The addition of differential agricultural income was deleted as the original return was processed under s.143(1) and not scrutinized. Regarding unexplained cash credits under s.68, ITAT upheld the addition based on lack of evidence for agricultural activity but acknowledged legitimate business transactions from retail trading. The Tribunal rejected retrospective application of enhanced tax rates under s.115BBE, directing taxation at normal rates with applicable surcharges. The assessee's retail business "Shreeji Paints & Ply" provided partial justification for cash deposits, resulting in partial relief against the additions made by the AO. .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X