Cash Deposits during Demonetization Period Explained by Bank Withdrawals and “Pin Money” Household Savings: ITAT deletes Addition

The ITAT has deleted an addition made during the demonetization period, ruling that a taxpayer's cash deposits were explained by bank withdrawals and "pin money" household savings. This decision provides a crucial victory for the taxpayer, acknowledging that not all cash deposits during the demonetization period were from unexplained sources. The ruling, a significant victory for the company, reinforces the principle of legal certainty and predictability in tax matters. The court's decision is a crucial reminder to all that they must be diligent in their dealings.