Sec. 68 of Income Tax Act, 1961 - Cash Credit - A search action under section 132(1) of the Act was conducted at the premises of Navratna Group of cases on 10.5.2006 and various books, documents etc. were found and seized from their premises relating to the assessee. In response to the notice under section 153C, assessee filed return of income declaring total income at Rs.NIL. The assessment order under section 153C r/s. 143(3) of the Act was passed by making addition on account of unexplained cash credit of Rs. 17,54,784/- and disallowance of Rs. 5,79,872/- as expenses claimed in P& L account. Total income accordingly was determined at Rs. 18,85,175/-. This was confirmed upto the First Appellate Authority. Assessee thereafter carried the matter in appeal before the Tribunal who set aside the issues back to the file of the AO for read-judication. AO under section 143(3) r/s. 254 of the Act repeated his finding, and made the very same additions, which were confirmed by the first appellate authority. ITAT allowed the appeal partly holding that ”Details of accounts along with confirmation, addresses and PAN of the lenders have been furnished to the AO for verification. Even the assessee has furnished copy of assessment orders passed in the case of lender for the relevant year for verification. Apart from that, these funds have been received by the assessee through banking channel, and therefore, all the ingredients necessary for proving cash credit under section 68 has been satisfied by the assessee. In my view, looking to the details provided to the Revenue authorities and copies also available in the paper book, I am satisfied that the assessee has discharged burden put upon it by virtue of section 68 of the Income Tax Act, 1961“.—KRUTI ORGANISERS P. LTD. vs. ITO.[2020] 26 ITCD Online 030 (ITAT-AHMEDABAD)