In absence of supportings HC upheld disallowance for expense via personal credit card of director

Swan Silk Private Limited Vs ACIT (Karnataka High Court) The Assessing Officer with regard to claim disallowance of 50% of credit card expenses has held that the assessee has not adduced any evidence that drawings made by the Directors through their personal credit card are in fact, incurred for the purpose of business of the company. Accordingly, the amount has been added back to the income of the assessee. The Commissioner of Income Tax (Appeals) as well as tribunal has further held that no evidence has been adduced by the assessee to show that expenses are incurred for purposes of business ...