LatestIncome Tax 7 October 2026
Man Deposits ₹85.3 Lakh Gift Cash, Tax Board Calls It Unexplained Income
A man deposited ₹85.3 lakh received as cash gifts from his wife and relatives, but the Income Tax Department treated the amount as unexplained income and issued a notice. The Income Tax Appellate Tribunal in Chennai later accepted the gift deeds and granted relief on September 18 2026, highlighting the need for proper documentation of cash gifts to avoid tax disputes and showing that valid gift deeds can overturn the tax authority’s assessment.
Key facts
- The taxpayer received ₹85.3 lakh in cash gifts from his wife and relatives.
- He deposited the money in a bank, but the Income Tax Department classified it as unexplained income and sent a notice.
- The Income Tax Appellate Tribunal (ITAT) in Chennai, on 18 Sept 2026, accepted the gift deeds and provided relief, ruling the amount was a legitimate gift.
For full details, see the Times of India article.
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