TMI Blog2003 (5) TMI 56X X X X Extracts X X X X X X X X Extracts X X X X ..... Act read with rule 6DD. Though he explained his position but the Income-tax Officer felt dissatisfied and ordered addition of Rs. 5,10,921 for the assessment year 1992 1993 by order dated October 4, 1993. He took appeal against this and the Appellate Commissioner by order dated July 6, 1994, directed its deletion – The Income-tax Appellate Tribunal's order resultantly becomes unsustainable and i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed its deletion holding: "The circumstances under which cash payments have been made have been explained by the appellant. However, the parties are identified and there is no material on record to doubt about the genuineness of payments. Keeping in view the notification of the Board, as cited by the appellant and also the exceptions to section 40A(3) as satisfied under rule 6DD(j), the payments, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the appellant's case fell within the exceptions provided in the Central Board of Direct Taxes clarification to rule 6DD(j). The relevant exception which the appellant claims to be applicable to this case provides: "(v) The seller, acting as a commission agent, is required to pay cash in turn to persons from whom he has purchased goods." The appellant admittedly, is a sub-broker dealing in purc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... as covered by the relevant exception. It seems that the Income-tax Appellate Tribunal had overlooked the relevant material on record to draw the conclusion and its finding was contrary to record to that extent. The Income-tax Appellate Tribunal's order resultantly becomes unsustainable and is set aside and that passed by the Appellate Commissioner is affirmed to allow this appeal. - - TaxTMI ..... X X X X Extracts X X X X X X X X Extracts X X X X
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