INCOME TAX5 Sept 2026
₹25L bank deposit lands Bengaluru woman in tax trouble; officer links it to property sale — here's how she won | Mint
A Bengaluru woman deposited Rs 25 lakh in cash back in 2016. Tax officers added it as unexplained income, suspecting it came from a property sale. She showed it came from earlier withdrawals from her and her husband's bank accounts. The Income Tax Appellate Tribunal (ITAT) agreed: a deposit traced to identified withdrawals can't be rejected just because of a time gap.
Key Statutory Highlights
- The woman deposited Rs 25 lakh in cash on June 29, 2016, and the tax officer reopened her file after finding she had sold a property just weeks earlier.
- She proved the cash came from Rs 13.17 lakh and Rs 11.95 lakh withdrawn from her and her husband's bank accounts over the previous two years.
- ITAT Bangalore ruled in her favour on August 17, 2026, and deleted the addition made under Section 69 of the Income-tax Act.
Actionable Advice for Taxpayers / Founders:If you make a large cash deposit, keep bank statements and withdrawal records showing the cash came from your own disclosed accounts—this strengthens your explanation if the tax office questions it.
Statutory Disclaimer: TaxQue Shorts are AI-assisted editorial briefs for compliance awareness. This brief has not passed every source check; confirm the original notification before acting. This does not constitute formal legal or CA counsel.
TaxQue News Desk
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