Gujrat High Court has held that that once the identity

Gujrat High Court has held that that once the identity

Gujrat High Court has held that that once the identity, genuineness of transactions, and creditworthiness have been established, no additions can be made by observed that the initial burden, even if not discharged at the level of the assessing officer, can be discharged by the production of documents before the CIT (Appeals), where two remand reports have been called for. Every transaction has been made through a banking channel, there is no reason to also question the creditworthiness. In this case, the assessee contended that the monies were received and subsequently repaid through account payee cheques or bank transfers, and they had been recorded in the books of accounts. The lenders also confirmed the transactions, and thus, the company discharged the onus regarding the said deposits. (PCIT Vs. Neotech Education Foundation)



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