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2020 (4) TMI 299 - ITAT SURATDisallowance u/s 40A(3) - cash payments to lorry drivers - five parties reflected that they had received cash payment in excess of ₹ 20 000, in a day - HELD THAT:- In the present case, the payments made to individual lorry drivers has not been disputed. It is not the case of Revenue, that payment made by the assessee are not genuine or the payee is not identifiable. The assessee has explained that it is his business necessity that the assessee had to make payments to lorry drivers to deliver coke at the doors of customers. The payments is supported by ledger account of transport operators on whose behalf the payment were made to lorry drivers on day to day basis. Thus, applying the ratio of judgement of ANUPAM TELE SERVICES [2014 (2) TMI 30 - GUJARAT HIGH COURT]and ATTAR SINGH GURMUKH SINGH [1991 (8) TMI 5 - SUPREME COURT]where payments are genuine and identifiable no disallowance under section 40A(3) are warranted. No disallowance under section 40A(3) are warranted. Ground of the assessee are allowed.
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