Addition of Rs. 2.02 Crore as Accommodation Entries: ITAT Holds Addition Unsustainable On Lack of Primary Proof

Addition as Accommodation Entries: ITAT Holds Addition Unsustainable on Lack of Primary Proof The Income Tax Appellate Tribunal (ITAT) has held that an addition made by the tax authorities on account of "accommodation entries" was unsustainable due to a lack of primary proof. The tribunal emphasized that to prove an income as an accommodation entry (bogus transaction), the revenue must provide concrete evidence linking the assessee to such entries. This decision provides relief to taxpayers, reiterating that additions cannot be made based on mere suspicion without corroborating evidence.