How landlord won tax relief on Rs 14.96 lakh demonetisation cash deposit

When it comes to income and taxation, documents and money trail form an important part of the process. This is particularly important when income from any of your sources is in cash. In one such case, a landlord faced income tax scrutiny due to cash deposits made on account of rental income that he received.The Bangalore bench of the Income Tax Appellate Tribunal (ITAT) recently held that rental income already disclosed to the income tax authorities can be considered as an identifiable source of cash deposited into a bank account at a later date.Even where a landlord claims to have collected rent in cash, the subsequent deposit of that money cannot be disregarded merely because the rental earnings have already been taxed.In this case, the tribunal clarified that disclosed rental receipts must be considered while examining the taxpayer's cash flow.What the case is aboutA man in Bengaluru owned properties that…