Mere Lack of GST registration of payees insufficient to disallow business expenses

Roopa Rana Vs DCIT (ITAT Delhi) In a notable ruling, the Income Tax Appellate Tribunal (ITAT) Delhi Bench has sided with the assessee, Roopa Rana, against the Deputy Commissioner of Income Tax (DCIT) regarding a disallowance of business expenditure. The ITAT’s decision underscores that the lack of GST registration of payees alone is not a sufficient ground for disallowing business expenses under Section 37(1) of the Income Tax Act, 1961, especially when genuineness and Tax Deducted at Source (TDS) compliance are established. The appeal was filed by Roopa Rana against an order dated November ...