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2020 (9) TMI 332 - HC - Income TaxDisallowance u/s 43B - Deduction of Security Transaction Tax (STT) against the transaction of trading - AO found the said amount of STT not to be deposited with the authorities, and as such provisions of Section 43 - HELD THAT:- The said Section is an exception to the mercantile system of accounting. It is explicitly added to correct the mischief of claiming deductions without payment of taxes due even at a later stage. The expression used is "same is actually paid by him." In any event, we find the issue is no longer res Integra for Constitutional validity of Section 43B, more particularly Clause (f) thereof, stands affirmed by the Hon'ble Apex Court in Union of India & Ors. Exide Industries Limited & Anr. [2020 (4) TMI 792 - SUPREME COURT]. Undisputedly, petitioner had not deposited the amount deducted as STT with the authorities, and it is not his case that the same stood paid back/returned to the person from whom it stood deducted. It is the admitted case of the petitioner that since the petitioner was adopting the mercantile system of accounting; he was not supposed to take any action. Even on this count, given law discussed above, more so Exide Industries Limited (supra). (supra) and Mcdowell [2009 (5) TMI 28 - SUPREME COURT] the orders cannot be said to be perverse and illegal warranting interference by this Court. WP dismissed.
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