In a significant ruling, the Income Tax Appellate Tribunal (ITAT) in Surat, Gujarat, dismissed a businessman’s claim regarding ₹80 lakh (approximately $96,000 USD) cash deposited during the demonetisation period in November 2016. The businessman argued that he withdrew this cash from his bank account for a property purchase, but the ITAT found his explanation lacking credibility and unsupported by any documentary evidence. The tribunal noted that the Income Tax Department had raised concerns about the source of the cash, as the businessman failed to establish the identity and genuineness of his transactions. The ITAT highlighted that cash transactions for property must be conducted through banking channels, in compliance with Sections 269SS and 269ST of the Income Tax Act, which restrict large cash payments. The tribunal concluded that the businessman’s explanation was implausible, as no prudent individual would withdraw a large sum of borrowed money, keep it idle for months, and then redeposit it. Consequently, the ITAT upheld the Income Tax Department's classification of the ₹80 lakh as unexplained cash credit under Section 68 of the Act, affirming the Assessing Officer's decision. This ruling underscores the importance of proper documentation in financial transactions and adherence to statutory cash transaction limits.