Disallowance of expenditure sustainable when assessee unable to prove non-applicability of provisions of section 40(a)(ia)

Ilahia Trust Vs Commissoner of Income Tax (Kerala High Court) Facts- The assessee, being an educational trust, claimed income tax exemption for the Assessment Year 2010-11. AO called up the assessee to explain advance of sum of INR 72,45,000. The advance made since is not compliant with the general purpose of running the Trust, the AO called upon the assessee to show-cause as to why the provisions of Section 13(1)(c) of the Act should not be invoked and disallow the advances made by the assessee in favour of M/s. VUS Timbers. Secondly, the assessee has described Mr. Varghese in the list of sun...