Unexplained Cash Credit In Bank Account Would Be Treated As Income : Chhattisgarh High Court

The Chhattisgarh High Court held that unexplained cash credit in a bank account is to be treated as income under Section 68 of the Income Tax Act. The court rejected the taxpayer's contention that the credits were loans from friends, noting that no satisfactory explanation or evidence was provided to substantiate the claim. This decision underscores the burden on taxpayers to provide adequate documentation for unexplained credits and reinforces the authority of tax officials to treat such amounts as income.