In accordance with CBDT Instruction No. 3 of 2017, the AO ...

AO erred by disregarding CBDT guidelines on cash deposits up to â‚¹2.5L. ITAT granted relief based on binding precedents.

Case Laws Income Tax

July 10, 2024

In accordance with CBDT Instruction No. 3 of 2017, the AO exceeded jurisdiction by conducting inquiry into cash deposits up to Rs. 2.5 lakhs by an individual without business income. As per Source Specific General Verification Guidelines, no further verification is required for such cash deposits. The ITAT held that the AO erred by disregarding CBDT guidelines, which are binding, and relied on coordinate bench rulings granting exemption up to Rs. 2,50,000. Consequently, the assessee's appeal was allowed.

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In accordance with CBDT Instruction No. 3 of 2017, the AO ...

AO erred by disregarding CBDT guidelines on cash deposits up to â‚¹2.5L. ITAT granted relief based on binding precedents.

Case Laws Income Tax

July 10, 2024

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