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Dinesh Kumar Singhi, Bangalore vs Dcit, Bangalore on 10 April, 2018

Therefore, we do not find any infirmity in the order of the ld. CIT(A) in deleting the additions made by the AO on account of cash deposit of SBNs. 10.2 Furthermore, as contended by the ld. AR, the cash deposited in Specified Bank Notes (SBNs) during the demonetisation period was lawfully collected and such deposit was not prohibited under the provisions of the Specified Bank Notes (Cessation of Liabilities) Act, 2017. In accordance with the said Act, the 'appointed date' beyond which transactions in SBNs were no longer permitted was 31.12.2016. Therefore, we find merit in the argument advanced by the ld. AR. This issue stands squarely covered in favour of the assessee by the decision of this Tribunal in the case of Shri Raju Dinesh Kumar vs. DCIT (supra), wherein, under an identical set of facts, the Tribunal deleted the additions made by the Assessing Officer after duly considering the following precedents rendered by this Tribunal: M/s. Micky Fireworks Industries vs. ACIT - ITA No. 264/2023 dated 26.07.2023; Mrs. Umamaheshwari vs. ITO - ITA No. 527/Chny/2022 dated 14.10.2022; and Amar Sparklers Factory vs. ITO - ITA No. 808/Chny/2023 dated 11.10.2023, and held as under:
Income Tax Appellate Tribunal - Bangalore Cites 42 - Cited by 1 - Full Document

Micky Fireworks Industries, Sivakasi vs Acit Non Corporate Circle 2, Madurai on 26 July, 2023

6,62,783/-. In so far as addition of Rs. 20,40,000/- towards advance received from group concerns, it was an argument of the appellant that group concerns have paid advance in cash during demonetization period and deposited into IDBI bank account. In this regard, the appellant has filed necessary details including PAN nos. and confirmation letters from the group concerns to prove receipt of trade advance. The Assessing Officer has not disputed these facts, however made additions only on the ground that the assessee should not have accepted cash in specified bank notes after 08.11.2016. We find that this issue is covered in favour of the assessee by the decision of ITAT, Chennai Benches in the case of M/s. Micky Fireworks Industries vs ACIT in ITA No. 264/Chny/2023, dated 26.07.2023, where the Tribunal under identical set of facts deleted additions made by the Assessing Officer, and the findings of the Tribunal is reproduced as under:
Income Tax Appellate Tribunal - Chennai Cites 6 - Cited by 0 - Full Document
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