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2018 (9) TMI 1316 - AT - Income TaxAddition of low house hold withdrawals - Held that:- The assessee has disclosed total income of ₹ 4,59,640/- against total turnover of ₹ 10.28 crores (approx) and no cash has been withdrawn by her towards household expenses. The contention of the Ld. Counsel that assessee’s husband took care of total household expenditure cannot justify that the assessee was not required to make any withdrawal for household expenses. In this give facts we find no inconsistency in the findings of Ld.CIT(A) confirming the addition of ₹ 1,00,000/-. Assessee’s Ground No.2 stands dismissed. Disallowance u/s 40A(3) - Held that:- The alleged transactions of making cash transactions as well as the modus operandi of the assessee of entering such transactions of M/s. Sai Impex of making huge purchase, huge sales and making the payments only in cash other than the bank holidays needs extensive verification. A.O also need to cross verify from Ms/. Sai Implex as to whether similar transactions of cash have been shown on the very same date in their books of accounts. We accordingly set aside this issue of disallowance u/s 40A(3) to the file of AO to make necessary verification along with the application of the provision of 40A(3) on all these transactions of cash payment in the light of various judgments referred and relied by the Ld. Counsel for the assessee during the course of hearing before us. Disallowance u/s 40A(3) is allowed for statistical purpose
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