Repayment of Friendly Loan Explained: ITAT Deletes ₹12.50 Lakh Addition u/s 69A

Vivek Kamalkar Kadam Vs ITO (ITAT Mumbai)

Addition u/s 69A was sustained by CIT(A) in respect of ₹12.50 lakh cash deposits, treating them as unexplained despite Assessee’s claim that deposits represented repayment of a friendly loan advanced earlier to Shri Gulamnabi Gafoor Shaikh. Tribunal noted that loan of ₹25 lakh, repayment of ₹5 lakh by cheque & ₹7.5 lakh by cash were already accepted by Revenue; only balance ₹12.5 lakh was disputed due to non-availability of deposit slips & alleged failure to prove availability of cash with borrower. ITAT

Please become a Premium member. If you are already a Premium member, login here to access the full content.