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2014 (9) TMI 272 - HC - Income TaxAddition of unexplained liabilities - Whether the Tribunal is justified in upholding the order of the CIT (A) in deleting the addition on account of unexplained liabilities – Held that:- As decided in assessee’s own case for the earlier assessment year, it has been already been held that an entry of liability in the balance sheet can also be added in the income of the assessee u/s 68 of the Act – relying upon Smt. Rekha Krishna Raj Vs. Income Tax Officer [2013 (7) TMI 523 - KARNATAKA HIGH COURT] - the essence of the word "cash credit" under the heading of Section 68 does not mean that credit should be cash credit - it may be a cash credit or it may be a credit representing the value of the supplies made by the suppliers on credit - once the credit so mentioned in the section was found to be not supported by any acceptable evidence than the sum so credited would be charged to income tax as the income of the assessee. Section 68 of the Act suggests that there has to be a credit of an amount in the books maintained by an assessee and such credit would be charged to income tax as the income of the assessee of that previous year if the explanation offered by the assessee about the nature and source - The expression "any sum is found credited in the books of the assessee" means all entries on the credit side as well as on the debit side in the books of account - The word "credited" in relation to "any sum" does not mean an entry only on the credit side but would also include any entry on the debit side as well - The word "credited" means an entry of a sum in the books of account – thus, no substantial question of law arises for consideration – Decided against revenue.
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