Yash Infratech Vs ACIT (ITAT Lucknow)Section 40A(3) Not Absolute – Business Expediency Justifies Cash Payments- Tribunal Cites SC & HC Precedents to Delete AdditionAssessee, engaged in real estate business, had purchased three properties worth Rs. AO disallowed the entire amount u/s 40A(3) holding that cash payments above prescribed limits were impermissible. It was further argued that payments were made in cash due to business expediency, as sellers insisted on cash & the payments were sourced from same-day bank withdrawals, duly evidenced in registered sale deeds. Tribunal observed that Assessee had proved identity of sellers, explained source of funds & established that cash payments were made due to genuine business compulsions. It was also submitted that cash payment was made after withdrawals from the bank accounts of the assessee on the same day the cash payment was made and, therefore, even the source was very much explained.