No Penalty for cash above Rs. 20000 from relatives due to Business Exigencies

Mr. Girishkumar Popatlal Vs JCIT (ITAT Ahmedabad)

During the course of the scrutiny assessment proceedings, the A.O. noticed that the assessee has accepted amount of Rs. 1.55 lacs from Shri Bhadresh Girishbhai Patel and Rs. 37,000/- from Shri Bhupendrabhai Poptlal Shah in cash which is in violation of the provisions of Section 269SS of the Act. The A.O. further noticed that the assessee has also made cash repayment of Rs. 1.04 lacs to Bhadresh Patel and accordingly violated the provisions of section 269T of the Act. The A.O. initiated penal proceedings u/s. 271D and 271E of the Act

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