Merely Because The Transactions Are Made Through Banking Channel Does Not Itself Prove The Creditworthiness

In a recent Mumbai ITAT decision, transactions were scrutinized for banking channel compliance and creditworthiness. The tribunal upheld additions under Income Tax Act, emphasizing the importance of genuine credit entries and verifiable sources. It highlighted the need for thorough documentation to substantiate claims against undisclosed income allegations. This ruling underscores the significance of maintaining transparent financial records and adhering to banking norms to avoid tax liabilities.