ITAT Deletes Section 69A Addition on Cash Deposits

The Lucknow Bench of the Income Tax Appellate Tribunal (ITAT) has upheld the deletion of an addition made under Section 69A of the Income-tax Act, holding that cash deposits recorded in the books of account and arising from disclosed business receipts cannot be treated as unexplained money. 

The Tribunal further observed that procedural lapses in admitting evidence by the CIT(A) could not justify sustaining an otherwise unsustainable addition.