Nam Estates Pvt. Ltd. v. ITO

428 ITR 186High Court2020#9787 most cited

What is Nam Estates Pvt. Ltd. v. ITO authority for?

Section 40A(3) disallowance applies to land purchased as trading stock, even if the payer has a bank account and there's no evidence of exceptions under Rule 6DD.

11

judgments rely on this decision, according to BharatTax’s citation analysis of 366,315 Indian tax judgments — from 2021 to 2024.

Also referred to as

Nam Estates Pvt. Ltd. v. ITO · section 40A(3) · disallowance · cash payment · land purchase · trading stock · Rule 6DD · business expediency

Read the full judgment

Issues it is cited on

section 198permanent account numbermaximum marginal ratesection 40a(2)(b)interest free advancessection 40a(2)section 220mistake apparent from recordbusiness expediencysection 220(2)section 40a(3)section 30

Judgments citing Nam Estates Pvt. Ltd. v. ITO

Demi Realtors, Hyderabad vs. DCIT, Circle-6(1), Hyderabad

In the result, the appeal of the assessee is partly allowed for statistical purposes on the above terms

ITA 156/HYD/2023[2008-09]Status: DisposedITAT Hyderabad05 Feb 2024AY 2008-09

Bench: Shri R.K. Panda & Shri Laliet Kumar

For Respondent: Ms. T. Vijaya Lakhsmi, CIT-DR
Section 143(3)Section 37(1)Section 40Section 40A(3)Section 40a

… Purchase cost of the land is debited to the Proft and Loss account.  Assessee has no evidence that his case is covered by the exceptions applicable for making payments u/s 40A(3) as prescribed u/r 6DD of the IT Act. Case laws: • Nam Estates Pvt Ltd Vs ITO 428 ITR 186 Karnataka, 2020 - where land was bought as trading stock, 40A (3) provisions were applicable. • Porwal Udhyog (India) Vs CIT 135 ITR /591 (MP), 1982 • Aditya Birla Nuvo Ltd Vs ACIT 13 ITR 128, ITAT Mumbai, 2012—Burden of proof is on assessee to establish exceptional & unavoidable circumstances of Rule 6D1) if applicable. • Attar Singh Gurmukh Sin…

M/S Essargee Construction Pvt. Ltd., Bhopal vs. The ITO -1 (5), Bhopal

In the result, appeal of assessee is allowed

ITA 10/IND/2023[22014-15]Status: DisposedITAT Indore03 Aug 2023

Bench: Shri Vijay Pal Rao & Shri B.M. Biyanim/S. Essargee Construction Ito 1(5) Pvt. Ltd. Bhopal Vs. A-10, Mezenine Floor Essarjee House Bhopal (Appellant / Assessee) (Respondent/ Revenue) Pan: Aaace 8852F Assessee By Shri Manoj Fadnis, Ar Revenue By Shri Ashish Porwal, Sr. Dr Date Of Hearing 31.07.2023 Date Of Pronouncement 03.08.2023

Section 40Section 40A(3)

…allowance u/s 40A(3) of the Act. In support of his contention he has relied upon the judgment of Hon’ble Madras High Court in case of Vaduganathan Talkies v. ITO 428 ITR 224 (Mad) and Hon’ble Karnataka High Court in case of Nam Estates Pvt. Ltd. v. ITO (2020) 428 ITR 186 . He has also relied upon the judgment of Hon’ble Supreme Court in case of Attar Singh Gurmukh Singh vs. ITO 191 ITR 667.He has relied upon the orders of the authorities below. 8. We have considered the rival submission as well as relevant material on record. It is evident from the record that the assessee has paid cash of Rs.25000/- to seven pe…

M/S Essargee Construction Pvt. Ltd., Bhopal vs. The ACIT- 1(1), Bhopal

In the result, appeals of assesse for A

ITA 9/IND/2023[22013-14]Status: DisposedITAT Indore31 Jul 2023

Bench: Shri Vijay Pal Rao & Shri B.M. Biyani

Section 142(1)Section 143(3)Section 147Section 148Section 154Section 40A(3)

…allowance u/s 40A(3) of the Act. In support of his contention he has relied upon the judgment of Hon’ble Madras High Court in case of Vaduganathan Talkies v. ITO 428 ITR 224 (Mad) and Hon’ble Karnataka High Court in case of Nam Estates Pvt. Ltd. v. ITO (2020) 428 ITR 186 He has relied upon the orders of the authorities below. 8. We have considered the rival submission as well as relevant material on record. It is evident from the record that one Shri Esam Singh Morya has filed a suit against seller of the land as well as of the assesse in the court of Additional District Judge, Bhopal challenging the transaction…

M/S Essargee Construction Pvt. Ltd., Bhopal vs. The DCIT- 1(1), Bhopal

In the result, appeals of assesse for A

ITA 8/IND/2023[22012-13]Status: DisposedITAT Indore31 Jul 2023

Bench: Shri Vijay Pal Rao & Shri B.M. Biyani

Section 142(1)Section 143(3)Section 147Section 148Section 154Section 40A(3)

…allowance u/s 40A(3) of the Act. In support of his contention he has relied upon the judgment of Hon’ble Madras High Court in case of Vaduganathan Talkies v. ITO 428 ITR 224 (Mad) and Hon’ble Karnataka High Court in case of Nam Estates Pvt. Ltd. v. ITO (2020) 428 ITR 186 He has relied upon the orders of the authorities below. 8. We have considered the rival submission as well as relevant material on record. It is evident from the record that one Shri Esam Singh Morya has filed a suit against seller of the land as well as of the assesse in the court of Additional District Judge, Bhopal challenging the transaction…

M/S Essargee Construction Pvt. Ltd., Bhopal vs. The ACIT- 1(1), Bhopal

In the result, appeals of assesse for A

ITA 7/IND/2023[2010-11]Status: DisposedITAT Indore31 Jul 2023AY 2010-11

Bench: Shri Vijay Pal Rao & Shri B.M. Biyani

Section 142(1)Section 143(3)Section 147Section 148Section 154Section 40A(3)

…allowance u/s 40A(3) of the Act. In support of his contention he has relied upon the judgment of Hon’ble Madras High Court in case of Vaduganathan Talkies v. ITO 428 ITR 224 (Mad) and Hon’ble Karnataka High Court in case of Nam Estates Pvt. Ltd. v. ITO (2020) 428 ITR 186 He has relied upon the orders of the authorities below. 8. We have considered the rival submission as well as relevant material on record. It is evident from the record that one Shri Esam Singh Morya has filed a suit against seller of the land as well as of the assesse in the court of Additional District Judge, Bhopal challenging the transaction…

M/S Essargee Construction Pvt. Ltd., Bhopal vs. The DCIT- 1(1), Bhopal

In the result, appeals of assesse for A

ITA 6/IND/2023[2010-11]Status: DisposedITAT Indore31 Jul 2023AY 2010-11

Bench: Shri Vijay Pal Rao & Shri B.M. Biyani

Section 142(1)Section 143(3)Section 147Section 148Section 154Section 40A(3)

…allowance u/s 40A(3) of the Act. In support of his contention he has relied upon the judgment of Hon’ble Madras High Court in case of Vaduganathan Talkies v. ITO 428 ITR 224 (Mad) and Hon’ble Karnataka High Court in case of Nam Estates Pvt. Ltd. v. ITO (2020) 428 ITR 186 He has relied upon the orders of the authorities below. 8. We have considered the rival submission as well as relevant material on record. It is evident from the record that one Shri Esam Singh Morya has filed a suit against seller of the land as well as of the assesse in the court of Additional District Judge, Bhopal challenging the transaction…

M/S Essargee Construction Pvt. Ltd., Bhopal vs. The DCIT-1 (1), Bhopal

In the result, appeals of assesse for A

ITA 11/IND/2023[22015-16]Status: DisposedITAT Indore31 Jul 2023

Bench: Shri Vijay Pal Rao & Shri B.M. Biyani

Section 142(1)Section 143(3)Section 147Section 148Section 154Section 40A(3)

…allowance u/s 40A(3) of the Act. In support of his contention he has relied upon the judgment of Hon’ble Madras High Court in case of Vaduganathan Talkies v. ITO 428 ITR 224 (Mad) and Hon’ble Karnataka High Court in case of Nam Estates Pvt. Ltd. v. ITO (2020) 428 ITR 186 He has relied upon the orders of the authorities below. 8. We have considered the rival submission as well as relevant material on record. It is evident from the record that one Shri Esam Singh Morya has filed a suit against seller of the land as well as of the assesse in the court of Additional District Judge, Bhopal challenging the transaction…

M/S. Shree Buildcon & Associates, Nashik vs. Joint Commissioner of Income-Tax

In the result, the appeal is dismissed

ITA 445/PUN/2015[2010-11]Status: HeardITAT Pune10 May 2022AY 2010-11

Bench: Shri R.S. Syal & Shri S.S. Viswanethra Ravi"नधा"रण वष" / Assessment Year : 2010-11

Section 40A(3)

…e Bombay High Court in Madhav Govind Dulshete Vs. ITO (2018) 259 Taxman 949 (Bom.), the Hon’ble Madras High Court in Vaduganathan Talkies and others Vs. ITO (2020) 428 ITR 224 (Mad.), the Hon’ble Karnataka High Court in Nam Estates Pvt. Ltd. Vs. ITO (2020) 428 ITR 186 (Kar.) and the Hon’ble Calcutta High Court in Bagmari Tea Company Ltd. Vs. CIT (2001) 251 ITR 640 (Cal.) have confirmed the disallowance 4 M/s. Shree Buildcon & Associates where the payment was made in cash exceeding the stipulated amount notwithstanding the genuineness of the transaction. 6. The assessee in Madhav Govind Dulshete (supra) wa…

Vikrant Happy Homes Pvt.Ltd, Nashik vs. Deputy Commissioner of Income Tax

In the result, the appeal of assessee is allowed

ITA 2856/PUN/2016[2012-13]Status: DisposedITAT Pune11 Jan 2022AY 2012-13

Bench: Shri Inturi Rama Rao & Shri S.S. Viswanethra Ravi

For Appellant: Shri Sanket JoshiFor Respondent: Shri M. Jasnani
Section 40A(3)

…in (2018) 259 Taxman 949 (Bom.), the Hon‟ble High Court of Madras in the case of Vaduganathan Talkies and others Vs. ITO reported in (2020) 428 ITR 224 (Mad.), the Hon‟ble High Court of Karnataka in the case of Nam Estates Pvt. Ltd. Vs. ITO reported in (2020) 428 ITR 186 (Kar.) and the Hon‟ble High Court of Calcutta in the case of Bagmari Tea Company Ltd. Vs. CIT reported in (2001) 251 ITR 640 (Cal.) have confirmed the disallowance where the payment was made in cash exceeding the stipulated amount notwithstanding the genuineness of the transaction. 8. Let us examine the decision of Hon‟ble Jurisdictional High Co…

M/S Samrudhi Developers, Bangalore vs. The Assistant Commissioner of Income Tax Circle-6(2)(1), Bangalore

In the result appeal filed by assessee stands allowed

ITA 2272/BANG/2018[2013-14]Status: DisposedITAT Bangalore23 Jul 2021AY 2013-14

Bench: Shri. B. R. Baskaran & Smt. Beena Pillaiassessment Year : 2013 – 14

For Appellant: Shri V Srinivasan, AdvocateFor Respondent: Shri Kannan Narayanan, JCIT
Section 143(1)Section 143(2)Section 40

…sactions entered into between assessee and the vendors. 4. On the contrary, Ld.Sr.DR relied on the orders passed by the Ld.CIT(A). He also placed reliance on the decision of Hon’ble Karnataka High Court in case of Nam Estates Pvt Ltd vs ITU reported in (2020) 428 ITR 186 that upheld the decision of coordinate bench of this Tribunal reported in (2013) 141 ITD 659. He submitted that assessee has not established that the vendors to whom cash payments were not made, do not have any bank accounts. 5. We have perused submissions advanced by both sides in light of records placed before us. 5.1 The only issue raised by a…

Suresh Chunnilal Sharma, Parbhani vs. Income-Tax Officer, Ward - Parbhani, Parbhani

In the result, the appeal is partly allowed for statistical

ITA 1883/PUN/2018[2013-14]Status: DisposedITAT Pune16 Feb 2021AY 2013-14

Bench: Shri R.S. Syalआयकर अपील सं. / Ita No.1883/Pun/2018 िनधा"रण वष" / Assessment Year : 2013-14

Section 40A(3)

…e Bombay High Court in Madhav Govind Dulshete Vs. ITO (2018) 259 Taxman 949 (Bom.), the Hon’ble Madras High Court in Vaduganathan Talkies and others Vs. ITO (2020) 428 ITR 224 (Mad.), the Hon’ble Karnataka High Court in Nam Estates Pvt. Ltd. Vs. ITO (2020) 428 ITR 186 (Kar.) and the Hon’ble Calcutta High Court in Bagmari Tea Company Ltd. Vs. CIT (2001) 251 ITR 640 (Cal.) have confirmed the disallowance where the payment was made in cash exceeding the stipulated amount notwithstanding the genuineness of the transaction. 13. Let me consider the judgment of the Hon’ble jurisdictional High Court in Madhav Govi…

Nam Estates Pvt. Ltd. v. ITO (428 ITR 186) — Cited in 11 Judgments | BharatTax