INCOME TAX30 Sept 2026
ITAT relief on ₹2.47 crore cash deposits: How a Delhi businessman won 10-year tax battle post demonetisation | Mint
A Delhi businessman won relief from the Income Tax Appellate Tribunal after depositing ₹2.47 crore in cash during demonetisation. The tribunal accepted his records — audited accounts, VAT returns, invoices and family income proofs — and removed the tax added on the deposits. It shows that clean paperwork can settle such cases. Keep your books, invoices and family fund proofs ready.
Key Statutory Highlights
- Rakesh Kumar, a Rohini-based pharmaceutical retailer, deposited ₹2,47,91,057 across three savings accounts with Oriental Bank of Commerce in FY2016-17.
- The tax officer treated the whole deposit as unexplained income under Section 68, and the Commissioner of Income Tax (Appeals) upheld that view in February 2026.
- The ITAT, in its July 7, 2026 order, accepted the business sales records and family fund proofs and deleted the additions.
Actionable Advice for Taxpayers / Founders:Keep your audited accounts, VAT returns, invoices and family income proofs handy for any large cash deposit, and speak to a tax professional before treating this ruling as a blanket protection, since it rests on the facts of one case.
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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