AdvertisementInayathulla Vs ITO (ITAT Bangalore)Bangalore ITAT: Entire Bank Credits Cannot Be Taxed as Unexplained Income; Only Profit Element Taxable Where Transactions Represent Business TurnoverThe assessee, engaged in real estate business, had not filed his return. Based on information regarding substantial bank deposits and purchase of property for ₹85 lakh, reassessment proceedings were initiated. More importantly, on merits, the ITAT made significant observations on taxation of bank deposits. On the basis of the information received from South Indian Bank, the AO treated deposits and loan repayments aggregating to Rs. It was contended that the AO had wrongly treated the entire bank deposits of Rs.