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2016 (3) TMI 1348 - ITAT DELHIAddition u/s 68 - as alleged credit worthiness of the share applicant was not proved - HELD THAT:- Addition has been made merely on the basis of assumption that as money is deposited in cash transaction is not genuine. We do not find any distinction between the transactions entered into by the assessee through banking channel or in cash unless prohibited by the law. Therefore for the purposes of applicability of section 68 of the Act both are looked at in similar manner. As possible that in transaction in cash further enquiries may be made in absence of trail which is generally available in transactions through banking channel. Assessee has adequately explained the identity, creditworthiness and genuineness of the transaction of share application money of ₹ 4851000/- deposit in cash in name of M/s. Anshu Tradex Pvt. Ltd with the assessee. Hence we confirm the order CIT (Appeals) deleting the addition u/s 68. - Decided in favour of assessee.
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