Case Law Details
Case Name : Bolkunda Pachwai & (S) C.S. Shop vs. Income-tax Officer (ITAT Kolkata)
Appeal Number : I.T.A Nos. 165 & 166/Kol/2014
Date of Judgement/Order : 25.07.2016
Related Assessment Year : 2008-09 & 2009-10
Courts :
All ITAT ITAT Kolkata
Become a Premium member to Download.
If you are already a Premium member, Login here to access.
Sponsored
CA Saurabh Chokhra
Brief of the case:
- The ITAT Kolkata in the above cited case held that the consequence, which were to be fall on account of non-observation of section 40A(3) must have nexus to the failure of object of introducing of the provision. Therefore, no disallowance can be made if the transactions do not defeat the object of Sec 40A(3) in as much as there genuiness is not challenged and they can be tracked end to end.
- Therefore , deposit in bank account of supplier in compliance with govt. regulations who is wholesale dealer where genuiness of transaction is not disputed by revenue cannot be disallowed as the same is routed through banking channel making evasion of taxes difficult thus, not defeating the provisions of Sec 40A(3).
Please become a Premium member. If you are already a Premium member, login here to access the full content.
Sponsored
Kindly Refer to
Privacy Policy &
Complete Terms of Use and Disclaimer.