9911796707
TMI Blog2021 (2) TMI 550X X X X Extracts X X X X X X X X Extracts X X X X ..... by a Bench of this Court vide order dated 10.01.2018 on the following substantial question of law: "Whether the Income Tax Appellate Tribunal is justified in law in sustaining the disallowance of expenses of Rs. 9,74,418/- being 10% of the expenses paid to port workers as incentives even when the books of account have been accepted are not rejected by pointing to any defects therein and the entire expenditure is supported by documentary evidence on the facts and circumstances of the case?" 2. Facts leading to filing of this appeal briefly stated are that the assessee is a partnership firm engaged in the business as clearing and forwarding agent and steamer agent. The assessee filed its returns for the Assessment Years in question. The As ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... F INCOME-TAX AND ANOTHER Vs. SRI.CLIFFORD D'SOUZA) as well as in 'COMMISSIONER OF INCOME-TAX AND ANOTHER Vs. KONKAN MARINE AGENCIES' 313 ITR 308 (KAR). 4. On the other hand, learned counsel for the revenue submitted that the revenue does not dispute the fact that payment of speed money for timely completion of the work is a trade practice which is followed by the assessee as well as other business concerns. However, it is submitted that in the instant case, the assessee has paid the entire amount by cash and has produced the vouchers which do not contain the details of payment made to the workers. Therefore, the Assessing Officer had rightly disallowed the expenditure incurred by the assessee. While inviting the attention ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... outed by any of the authorities under the Act. A Bench of this Court vide judgment dated 24.03.2015 passed in ITA No.22/2015, has held that admittedly the normal practice in the line of business of the assessee is to pay certain extra amounts to port labourers as speed money for promptly and speedily carrying out the labour work of handling cargo beyond working hours and has placed reliance on the decision rendered by this Court in KONKAN MARINE AGENCIES, supra. It is pertinent to note that in CLIFFORD D'SOZA, supra, payment was made to the sub-contractors in cash as well as by Cheques. In the absence of any challenge to the entries made in the books of accounts by the authorities, in our opinion, the finding recorded by the Assessing O ..... X X X X Extracts X X X X X X X X Extracts X X X X
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