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2018 (6) TMI 831 - AT - Income TaxDisallowance u/s 40A(3) - payments made to agriculturalist - commercial expediency in making cash payments - Held that:- As relying upon case of Asst. CIT vs. R. P. Real Estate Pvt. Ltd. [2015 (7) TMI 1283 - ITAT RAIPUR] it is held that sellers being villagers had no bank accounts and therefore insisted on cash payment - The Tribunal held that payment in cash was out of business compulsion and not optional - thus payments are made to agriculturalist - The identity and genuineness of none of the parties is disputed - hence there is no disallowance - Decided in favor of assessee. Additions u/s 68 - sum credited against the sale of gold ornaments - Held that:- Assessee has submitted the necessary details and receipt of the transaction - AO has not made any enquiry or verification regarding the documents shown - he has himself noted that since the period of time barring was approaching, necessary verification could not be done - thus we agree with the CIT(A) that addition has been made on surmises and conjuncture without cogently rebutting the evidence submitted by the assessee - thus there is no infirmity in its order - hence appeal of revenue is dismissed.
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