M/s Vintage Wines v. INCOME TAX OFFICER WARD 4(1) GURGOAN

Judgement held

When personal/virtual hearing is specifically requested and refused.further CIT Appeal Order Breach Principal of Natural justice. On ground of Principal of natural justice case was remanded back to CIT appeal.

Author Opinion: Section 68 unsecured loan test- identity, creditworthiness AND genuineness will proved by PAN, ADHAR, BANK STATEMENT of Lender, ITR’s. Please avoid to take Unsecured Loan from less creditworthiness lender. Please check ITR before any loan.

Brief history

A Liquor retailer took unsecured loans of Rs 37.55 lakh from six individuals. It gave Aadhaar/PAN and some ITR details but no bank statements. AO added the full amount u/s 68. CIT(A) confirmed, saying identity documents alone do not discharge the onus (P. Mohanakala; NRA Iron & Steel), and refused a personal hearing despite requests. ITAT sent the matter back to CIT(A) for a hearing (VC or physical) and allowed all evidence to be filed, which will not be treated as additional evidence.

Reproduced from the order of the Income Tax Appellate Tribunal, Delhi Bench, in 2074/DEL/2026, pronounced 19 Oct 2026. Source: itat.gov.in. The notes above are an editorial summary; read the full order before relying on it. Order No. Sh.Mahavir Singh and Sh. Amitabh Shukla.