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2016 (5) TMI 590 - HC - Income TaxDisallowance u/s 40A(3) - genuineness of the cash payments - consideration paid to agriculturists in respect of purchase of agricultural lands - Held that:- All the three authorities have failed to appreciate that when a vast extent of agricultural lands is purchased from several persons, especially in villages, it is not possible to expect the villagers to accept the sale consideration by way of crossed account payee cheque or bank draft. Therefore, so long as the payees are identified and the genuineness of the transaction is not questioned and so long as the payments have been made at the time of registration in the presence of the Sub Registrar, the case would fall under the exceptions provided in Clause (j) of Rule 6DD. Therefore, we are of the considered view that the questions of law are to be answered in favour of the assessee
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