CIT v. Chrome Leather Company Private ITA Nos.397/16, 1237

235 ITR 708High Court1999#8328 most cited

What is CIT v. Chrome Leather Company Private ITA Nos.397/16, 1237 authority for?

No disallowance can be made under Section 40A(3) of the Income Tax Act if the genuineness of the payment is established, even if made on holidays.

13

judgments rely on this decision, according to BharatTax’s citation analysis of 366,005 Indian tax judgments — from 2018 to 2023.

Also referred to as

CIT v. Chrome Leather Company Private · Section 40A(3) · genuineness of payment · disallowance of expenses · cash payment · holiday payment · tax deduction

Judgments citing CIT v. Chrome Leather Company Private ITA Nos.397/16, 1237

M/S. Shree Tirupati Associates, Bhilwara vs. ITO, Bhilwara

ITA 2/JODH/2016[2011-12]Status: DisposedITAT Jodhpur09 Aug 2023AY 2011-12
Section 143(3)Section 30Section 40ASection 40A(3)

…(Cal); (c) CIT vs. Chaudhary & Co. (1995) 129 CTR (All) 101 : (1996) 217 ITR 431 (All); 15 M/s Shree Tirupati Associates (d) Shri Mahabir Industries vs. CIT (1996) 136 CTR (Gau) 107 : (1996) 220 ITR 459 (Gau); (e) CIT vs. Chrome Leather Co. (P) Ltd. (1999) 235 ITR 708 (Mad); (f) CIT vs. Mrinalini V. Sarabhai (2003) 184 CTR (Guj) 122 : (2004) 265 ITR 64 (Guj); (g) Walford Transport (Eastern India) Ltd. vs. CIT (1999) 240 ITR 902 (Gau). In property business till a token amount is not given no transactions are confirmed by the seller which is generally in cash. The assessee has paid for land at Arjia, Road, Bhil…

M/S. Dineshchandra R.Agrawal Infracon Pvt.Ltd., Deesa vs. The Jt.CIT, B.K.Range, Palanpur

In the result, ground number 3 of the assessee’s appeal is dismissed

ITA 1754/AHD/2014[2010-11]Status: DisposedITAT Ahmedabad16 Nov 2022AY 2010-11
For Appellant: Shri M.K. Patel, A.RFor Respondent: Shri Atul Pandey, Sr. D.R
Section 234BSection 271Section 40A(3)

…THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD “D” BENCH Before: Ms. Annapurna Gupta, Accountant Member And Shri Siddhartha Nautiyal, Judicial Member Assessment Year 2010-11 M/s. Dineshchandra R. JCIT, Agrawal Infraction Pvt. B.K. Range, Palanpur Ltd., Agrawal Complex, Vs C/o Income Tax Office, 2nd Floor, Shri Hari Nr. Lion’s Hall, Deesa-385535 Complex, Abu Highway, PAN: AABCD9523D Palanpur-385001 (Appellant) (Respondent) Assessee by: Shri M.K. Patel, A.R. Revenue by: Shri Atul Pandey, Sr. D.R. Date of hearing : 22-08-2022 Date of pronouncement : 16-11-2022 आदेश/ORDER PER : SIDDHARTHA NAUTIYAL, JUDICIA…

ITO, Ward-2, Namakkal vs. M/S. Npa Foods Andn Feeds, Namakkal

In the result, the appeal filed by the Revenue is allowed and the

ITA 3167/CHNY/2019[2014-15]Status: DisposedITAT Chennai24 Aug 2022AY 2014-15

Bench: Shri Mahavir Singh & Dr. Dipak P. Ripoteआयकर अपील सं./Ita No.3167/Chny/2019 िनधा"रण वष"/Assessment Year: 2014-15 & Cross Objection No.13/Chny/2022 Assessment Year: 2014-15 V. The Income Tax Officer, M/S.Npa Foods & Feeds, Ward-2, No.1/442/1, Namakkal. Ayyanarvalagam, Mudaliaipatty Bye Pass, Namakkal-637 003. [Pan:Aahfn 4382 M] (अपीलाथ"/Appellant) (""यथ"/Respondent / Cross- Objector) Department By : Mr.Hema Bhupal, Jcit Assessee By : Ms.K.C.Aarthi, Adv. : सुनवाई क" तारीख/Date Of Hearing 18.08.2022 : घोषणा क" तारीख /Date Of Pronouncement 24.08.2022

For Appellant: Ms.K.C.Aarthi, AdvFor Respondent: Mr.Hema Bhupal, JCIT
Section 143(3)Section 40A(3)

…ted our attention to the findings given by the Ld.CIT(A) that the AO has not doubted the genuineness of the transaction. The Ld.AR relied on the decision of the Hon’ble jurisdictional High Court in the case of CIT v. Chrome Leather Co. Pvt. Ltd. reported in 235 ITR 708 (1999). ITA No.3167/Chny/2019 for AY 2014-15 & CO No.13/Chny/2022 for AY 2014-15 M/s.NPA Foods & Feeds :: 3 :: Therefore, the Ld.AR contended that the order of the Ld.CIT(A) may be upheld and order of the AO may be deleted. 4. On the other hand, the Ld.DR invited our attention to Para No.3 of the assessment order, wherein, it is specifically m…

ACIT Non Corporate Circle 4, Coimbatore vs. Sri Balaji Real Estates, Pollachi

In the result, the appeal filed by the assessee in ITA

ITA 3148/CHNY/2018[2012-13]Status: DisposedITAT Chennai24 Oct 2019AY 2012-13

Bench: Shri N.R.S. Ganesan & Shri Inturi Rama Rao] आयकर अपील सं./I.T.A. Nos.397/Chny/2016, 2544, 2545 & 3148/2018 "नधा"रण वष" /Assessment Years :2011-12, 2011-12, 2012-13 & 2012-13

For Appellant: Shri. D. Anand, AdvocateFor Respondent: Shir. S. Bharath, IRS, CIT
Section 139Section 147Section 148

…liance on the decisions of Hon'ble Supreme Court in the case of Attar Singh Gurumukh Singh vs. ITO, 191 ITR 667 and Jurisdictional High Court in the case of CIT vs. Chrome Leather Company Private ITA Nos.397/16, 1237 & :- 14 -: 1238/17, 2544 & 2545/18 Ltd, 235 ITR 708, wherein it was held that no disallowance can be made u/s.40A(3) of the Act in case if the genuineness of the payment is established. Being aggrieved by the order of the ld. CIT(A), the Revenue 23. is in appeal before us. The ld. Departmental Representative argued that the ld. CIT(A) ought not have held the payment are genuine, in as much as,…

ACIT Non Corporate Circle 4, Coimbatore vs. Sri Balaji Real Estates, Pollachi

In the result, the appeal filed by the assessee in ITA

ITA 2545/CHNY/2018[2012-13]Status: DisposedITAT Chennai24 Oct 2019AY 2012-13

Bench: Shri N.R.S. Ganesan & Shri Inturi Rama Rao] आयकर अपील सं./I.T.A. Nos.397/Chny/2016, 2544, 2545 & 3148/2018 "नधा"रण वष" /Assessment Years :2011-12, 2011-12, 2012-13 & 2012-13

For Appellant: Shri. D. Anand, AdvocateFor Respondent: Shir. S. Bharath, IRS, CIT
Section 139Section 147Section 148

…liance on the decisions of Hon'ble Supreme Court in the case of Attar Singh Gurumukh Singh vs. ITO, 191 ITR 667 and Jurisdictional High Court in the case of CIT vs. Chrome Leather Company Private ITA Nos.397/16, 1237 & :- 14 -: 1238/17, 2544 & 2545/18 Ltd, 235 ITR 708, wherein it was held that no disallowance can be made u/s.40A(3) of the Act in case if the genuineness of the payment is established. Being aggrieved by the order of the ld. CIT(A), the Revenue 23. is in appeal before us. The ld. Departmental Representative argued that the ld. CIT(A) ought not have held the payment are genuine, in as much as,…

ACIT Non Corporate Circle 4, Coimbatore vs. Sri Balaji Real Estates, Pollachi

In the result, the appeal filed by the assessee in ITA

ITA 2544/CHNY/2018[2011-12]Status: DisposedITAT Chennai24 Oct 2019AY 2011-12

Bench: Shri N.R.S. Ganesan & Shri Inturi Rama Rao] आयकर अपील सं./I.T.A. Nos.397/Chny/2016, 2544, 2545 & 3148/2018 "नधा"रण वष" /Assessment Years :2011-12, 2011-12, 2012-13 & 2012-13

For Appellant: Shri. D. Anand, AdvocateFor Respondent: Shir. S. Bharath, IRS, CIT
Section 139Section 147Section 148

…liance on the decisions of Hon'ble Supreme Court in the case of Attar Singh Gurumukh Singh vs. ITO, 191 ITR 667 and Jurisdictional High Court in the case of CIT vs. Chrome Leather Company Private ITA Nos.397/16, 1237 & :- 14 -: 1238/17, 2544 & 2545/18 Ltd, 235 ITR 708, wherein it was held that no disallowance can be made u/s.40A(3) of the Act in case if the genuineness of the payment is established. Being aggrieved by the order of the ld. CIT(A), the Revenue 23. is in appeal before us. The ld. Departmental Representative argued that the ld. CIT(A) ought not have held the payment are genuine, in as much as,…

Sri Balaji Real Estates, Pollachi vs. ACIT, Coimbatore

In the result, the appeal filed by the assessee in ITA

ITA 1238/CHNY/2017[2011-12]Status: DisposedITAT Chennai24 Oct 2019AY 2011-12

Bench: Shri N.R.S. Ganesan & Shri Inturi Rama Rao] आयकर अपील सं./I.T.A. Nos.397/Chny/2016, 2544, 2545 & 3148/2018 "नधा"रण वष" /Assessment Years :2011-12, 2011-12, 2012-13 & 2012-13

For Appellant: Shri. D. Anand, AdvocateFor Respondent: Shir. S. Bharath, IRS, CIT
Section 139Section 147Section 148

…liance on the decisions of Hon'ble Supreme Court in the case of Attar Singh Gurumukh Singh vs. ITO, 191 ITR 667 and Jurisdictional High Court in the case of CIT vs. Chrome Leather Company Private ITA Nos.397/16, 1237 & :- 14 -: 1238/17, 2544 & 2545/18 Ltd, 235 ITR 708, wherein it was held that no disallowance can be made u/s.40A(3) of the Act in case if the genuineness of the payment is established. Being aggrieved by the order of the ld. CIT(A), the Revenue 23. is in appeal before us. The ld. Departmental Representative argued that the ld. CIT(A) ought not have held the payment are genuine, in as much as,…

Sri Balaji Real Estates, Pollachi vs. ACIT, Coimbatore

In the result, the appeal filed by the assessee in ITA

ITA 1237/CHNY/2017[2012-13]Status: DisposedITAT Chennai24 Oct 2019AY 2012-13

Bench: Shri N.R.S. Ganesan & Shri Inturi Rama Rao] आयकर अपील सं./I.T.A. Nos.397/Chny/2016, 2544, 2545 & 3148/2018 "नधा"रण वष" /Assessment Years :2011-12, 2011-12, 2012-13 & 2012-13

For Appellant: Shri. D. Anand, AdvocateFor Respondent: Shir. S. Bharath, IRS, CIT
Section 139Section 147Section 148

…liance on the decisions of Hon'ble Supreme Court in the case of Attar Singh Gurumukh Singh vs. ITO, 191 ITR 667 and Jurisdictional High Court in the case of CIT vs. Chrome Leather Company Private ITA Nos.397/16, 1237 & :- 14 -: 1238/17, 2544 & 2545/18 Ltd, 235 ITR 708, wherein it was held that no disallowance can be made u/s.40A(3) of the Act in case if the genuineness of the payment is established. Being aggrieved by the order of the ld. CIT(A), the Revenue 23. is in appeal before us. The ld. Departmental Representative argued that the ld. CIT(A) ought not have held the payment are genuine, in as much as,…

ACIT, Coimbatore vs. Sri Balaji Real Estates, Pollachi

In the result, the appeal filed by the assessee in ITA

ITA 397/CHNY/2016[2011-12]Status: DisposedITAT Chennai24 Oct 2019AY 2011-12

Bench: Shri N.R.S. Ganesan & Shri Inturi Rama Rao] आयकर अपील सं./I.T.A. Nos.397/Chny/2016, 2544, 2545 & 3148/2018 "नधा"रण वष" /Assessment Years :2011-12, 2011-12, 2012-13 & 2012-13

For Appellant: Shri. D. Anand, AdvocateFor Respondent: Shir. S. Bharath, IRS, CIT
Section 139Section 147Section 148

…liance on the decisions of Hon'ble Supreme Court in the case of Attar Singh Gurumukh Singh vs. ITO, 191 ITR 667 and Jurisdictional High Court in the case of CIT vs. Chrome Leather Company Private ITA Nos.397/16, 1237 & :- 14 -: 1238/17, 2544 & 2545/18 Ltd, 235 ITR 708, wherein it was held that no disallowance can be made u/s.40A(3) of the Act in case if the genuineness of the payment is established. Being aggrieved by the order of the ld. CIT(A), the Revenue 23. is in appeal before us. The ld. Departmental Representative argued that the ld. CIT(A) ought not have held the payment are genuine, in as much as,…

The ACIT, Ernakulam vs. M/S.Nitta Gelatine India Ltd, Cochin

In the result, the appeal of the Revenue in ITA No

ITA 301/COCH/2017[2009-10]Status: DisposedITAT Cochin29 Aug 2019AY 2009-10

Bench: S/Shri Chandra Poojari, Am & George George K., Jm

Section 143(3)Section 253(1)Section 32Section 40A(3)

…The Ld. AR relied on the judgment of the Gauhati High Court in the case of Walfard Transport (Eastern) Ltd. India v. C1T [2002] 124 Taxman 538/240 ITR 902 (Gau.) & the judgment of Madras High Court in the case of CIT vs. Chrome Leather Co, (P.) Ltd. [1999] 235 ITR 708 (Mad.) wherein it was held that where the transaction was found to be genuine and the identity of the payee is established, a liberal view of compelling and mitigating circumstances should be taken. 14. We have heard the rival submissions and perused the record. As seen from the facts of the case, the assessee has made payments for purchase of p…

The ACIT, Cochin vs. M/S.Nitta Gelatine India Ltd, Cochin

In the result, the appeal of the Revenue in ITA No

ITA 303/COCH/2017[2010-11]Status: DisposedITAT Cochin23 Aug 2019AY 2010-11

Bench: S/Shri Chandra Poojari, Am & George George K., Jm

Section 143(3)Section 253(1)Section 32Section 40A(3)

…The Ld. AR relied on the judgment of the Gauhati High Court in the case of Walfard Transport (Eastern) Ltd. India v. C1T [2002] 124 Taxman 538/240 ITR 902 (Gau.) & the judgment of Madras High Court in the case of CIT vs. Chrome Leather Co, (P.) Ltd. [1999] 235 ITR 708 (Mad.) wherein it was held that where the transaction was found to be genuine and the identity of the payee is established, a liberal view of compelling and mitigating circumstances should be taken. 14. We have heard the rival submissions and perused the record. As seen from the facts of the case, the assessee has made payments for purchase of p…

Natesan Krishnamurthy, Chennai vs. ITO Non Corporate Ward 9(2), Chennai

In the result, the appeal of the assessee stands dismissed

ITA 1672/CHNY/2017[2013-14]Status: DisposedITAT Chennai20 Jun 2018AY 2013-14

Bench: Shri N.R.S. Ganesan & Shri Abraham P. George] आयकर अपील सं./I.T.A. No. 1672/Chny/2017 "नधा"रण वष" /Assessment Year : 2013-2014. Natesan Krishnamurthy, Vs. The Income Tax Officer, 24/60, Mookathal Street, Non Corporate Ward 9(2) Purasawalkam, Chennai 600 034. Chennai 600 007. [Pan Ancpk 2634B] (अपीलाथ"/Appellant) (""यथ"/Respondent)

For Appellant: Mrs. Ruby George, IRS, CIT
Section 40A(3)Section 5

…e that a transaction once found to be genuine, Section 40A(3) of the Act, enacted to check evasion of taxes, had no application. Reliance was also placed on the judgment of Hon’ble Jurisdictional High Court in the case of CIT vs. Chrome Leather Co. Pvt. Ltd, 235 ITR 708, that of Hon’ble Rajasthan High Court in the case of Smt. Harshila Chordia vs. CIT vs. 298 ITR 349, that of Hon’ble Delhi High Court in the case of CIT vs. Rhydburg Pharmaceuticals Ltd, 269 ITR 561 and Ramaditya Investments vs. CIT, 262 ITR 491, that of Hon’ble Calcutta High Court in the case of Goenka Agencies vs. CIT, 263 ITR 145, that of Ho…

DCIT Central Circle 2(2), Chennai vs. Jubilee Plot and Housing Pvt. Ltd., Chennai

ITA 2258/CHNY/2018[2008-09]Status: DisposedITAT Chennai28 Mar 2018AY 2008-09

Bench: Shri Abraham P. George & Shri Duvvuru Rl Reddy] आयकर अपील सं./I.T.A. No.2258/Chny/2018. "नधा"रण वष" /Assessment Year : 2008-2009. Deputy Commissioner Of Vs. Jubilee Plot & Housing Income Tax, Private Limited, Central Circle 2(2) No.1379, Golden Villa, Ist Block, 6Th Street, Chennai. 18Th Main Road, Vallalar Kudiyeruppu, Anna Nagar West, Chennai 600 040. [Pan Aabcj 3938J] (अपीलाथ"/Appellant) (""यथ"/Respondent)

For Appellant: Shri. S. Bharath, IRS, CITFor Respondent: Shri. K.M.Mohandass, C.A
Section 143(3)Section 40ASection 40A(3)Section 49A(3)

…lished and explanation of assessee for making cash remittances was acceptable in the light of modus operandi of assessee's business, payments in cash could not be disallowed. The Jurisdictional High Court in the case of CIT vs. Chrome Leather Pvt. Ltd. [1999] 235 ITR 708 (Mad.) has also held that when the identity of recipient and genuineness of transaction is established, no disallowance can be made under Section 40A(3) of the Act, without' even resorting to Rule 6DD. ITA No.2258 /2018 :- 8 -: 5.8 The appellant is a builder and developer and obviously the land purchased by the appellant would be in the nature…

CIT v. Chrome Leather Company Private ITA Nos.397/16, 1237 (235 ITR 708) — Cited in 13 Judgments | BharatTax