G.K.MATHANAGOPAL,POLLACHI vs. ITO, CHENNAI

ITA 2031/CHNY/2012Status: DisposedITAT Chennai08 January 2016AY 2008-099 pages
AI SummaryDismissed

What did the Tribunal hold?

The Tribunal upheld the CIT(A)'s decision, stating that once the assessee agreed to the disallowance in writing during assessment, they had no right to appeal. The Tribunal found no reason to interfere with the CIT(A)'s order based on the jurisdictional High Court's precedent.

What were the facts?

The assessee agreed to a disallowance of Rs. 7,94,000 under Section 40A(3) during assessment proceedings due to cash payments exceeding Rs. 20,000. The assessee later appealed this disallowance, arguing it was due to a mistake by their representative and that Rule 6DD should apply.

What were the issues?

Whether an assessee can appeal a disallowance to which they previously consented in writing during the assessment proceedings. Whether cash payments for agricultural produce to agriculturists are exempt from Section 40A(3) disallowance.

Which sections of the Income-tax Act were involved?

Section 40A(3)

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Cases cited in this judgment(1)Show list

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Income Tax Appellate Tribunal, “D” BENCH, CHENNAI

Before: Dr. O.K. NARAYANAN & SHRI CHALLA NAGENDRA PRASAD

For Appellant: Mr. Murugeshan, CA

PER CHALLA NAGENDRA PRASAD, JUDICIAL MEMBER :

This is an appeal by the assessee against the order of Commissioner of Income Tax (Appeals)-II, Coimbatore dated

28.8.

2012 for the Asst. Year 2008-09. The assessee raised several

grounds in its appeal which are effectively on two issues.

2 ITA 2031/Mds/12

2.

The first issue in the grounds of appeal is that the Commissioner of Income Tax (Appeals) erred in confirming the disallowance of ".7,94,000/- made under sec.40A(3) of the I.T. Act.

The second issue in the grounds of appeal of the assessee is that the Commissioner of Income Tax (Appeals) erred in sustaining the disallowance of ".1,43,910/- made towards diff

The order continues below.

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