ITAT Scraps Rs. 14.2 Crore 'On-Money' Tax Demand: No Evidence Found Against Real Estate Firm

The ITAT has scrapped a tax demand on a real estate firm, ruling that the "on-money" tax demand was based on no evidence. The tribunal found that the tax authorities had failed to provide any concrete proof of the alleged black money transactions, relying instead on assumptions. The ruling reinforces the principle that a tax demand cannot be based on mere suspicion and must be backed by tangible evidence. This decision provides a major relief to the real estate firm and serves as a crucial precedent, compelling tax authorities to conduct thorough investigations before imposing demands.