ITAT Upholds Deletion of ₹11.73 Cr Unexplained Cash Credit Addition Citing AO's Reliance on Unverified STR Information

The ITAT (Income Tax Appellate Tribunal) has upheld the deletion of a ₹1.173 crore unexplained cash credit addition, citing the AO's reliance on unverified STR information. The tribunal found that the Assessing Officer had solely based the addition under Section 68 of the Income Tax Act on a Suspicious Transaction Report (STR) without conducting independent verification or providing the assessee an opportunity to cross-examine. The ITAT stressed that an STR merely provides information and cannot be the sole basis for an addition without further corroborative evidence and proper inquiry, emphasizing due process.