M/S. SHREE-E-KASHMIR COLLEGE OF EDUCATIONAL,JAMMU vs. THE INCOME-TAX OFFICER, JAMMU

In the result, the captioned four appeals of the Assessee Trust are allowed

Bench: Dr. M. L. Meena & Sh. Anikesh Banerjee

Disallowance of Interest paid by 1,96,496/- 6,89,994/- 3,53,381/- - the Trust on term loan by holding that the trust has made interest free advances to its Trustees. 21,72,081/- 24,61,984/- 9,51,368/- 9,24,414/- Total additions made under section 143(3) of the I.T. Act, Income Returned

M/S. SHREE-E-KASHMIR COLLEGE OF EDUCATIONAL,JAMMU vs. THE INCOME-TAX OFFICER, JAMMU

In the result, the captioned four appeals of the Assessee Trust are allowed

Bench: Dr. M. L. Meena & Sh. Anikesh Banerjee

Disallowance of Interest paid by 1,96,496/- 6,89,994/- 3,53,381/- - the Trust on term loan by holding that the trust has made interest free advances to its Trustees. 21,72,081/- 24,61,984/- 9,51,368/- 9,24,414/- Total additions made under section 143(3) of the I.T. Act, Income Returned

M/S. SADHU SINGH HAMDARD TRUST,JALANDHAR vs. THE ASSISTANT COMMISSIONER OF INCOME TAX, JALANDHAR

Bench: Dr. M. L. Meena & Sh. Anikesh Banerjee

disallow the expenditure under Section 40A(2). 12. Burden of proof lies on the Revenue to prove that the salary/rental payments made were excessive/unreasonable and that provisions of section 13 apply: Section 13 starts with a non-obstante clause and hence by virtue of the said provisions, exception to the exemption provided by section 11, is carved

M/S. SADHU SINGH HAMDARD TRUST,JALANDHAR vs. THE ASSISTANT COMMISSIONER OF INCOME TAX, JALANDHAR

Bench: Dr. M. L. Meena & Sh. Anikesh Banerjee

disallow the expenditure under Section 40A(2). 12. Burden of proof lies on the Revenue to prove that the salary/rental payments made were excessive/unreasonable and that provisions of section 13 apply: Section 13 starts with a non-obstante clause and hence by virtue of the said provisions, exception to the exemption provided by section 11, is carved

M/S SADHU SINGH HAMDARD TRUST,JALANDHAR vs. THE ADDL. COMMISSIONER OF INCOME TAX, JALANDHAR

Bench: Dr. M. L. Meena & Sh. Anikesh Banerjee

disallow the expenditure under Section 40A(2). 12. Burden of proof lies on the Revenue to prove that the salary/rental payments made were excessive/unreasonable and that provisions of section 13 apply: Section 13 starts with a non-obstante clause and hence by virtue of the said provisions, exception to the exemption provided by section 11, is carved

M/S. SADHU SINGH HAMDARD TRUST,JALANDHAR vs. THE ASSISTANT COMMISSIONER OF INCOME TAX, JALANDHAR

Bench: Dr. M. L. Meena & Sh. Anikesh Banerjee

disallow the expenditure under Section 40A(2). 12. Burden of proof lies on the Revenue to prove that the salary/rental payments made were excessive/unreasonable and that provisions of section 13 apply: Section 13 starts with a non-obstante clause and hence by virtue of the said provisions, exception to the exemption provided by section 11, is carved

THE ASSISTANT COMMISSIONER OF INCOME TAX, JALANDHAR vs. M/S. SADHU SINGH HAMDARD TRUST, JALANDHAR

Bench: Dr. M. L. Meena & Sh. Anikesh Banerjee

disallow the expenditure under Section 40A(2). 12. Burden of proof lies on the Revenue to prove that the salary/rental payments made were excessive/unreasonable and that provisions of section 13 apply: Section 13 starts with a non-obstante clause and hence by virtue of the said provisions, exception to the exemption provided by section 11, is carved

DEPUTY COMMISSIONER OF INCOME TAX, JALANDHAR vs. M/S. SADHU SINGH HAMDARD TRUST,, JALANDHAR

Bench: Dr. M. L. Meena & Sh. Anikesh Banerjee

disallow the expenditure under Section 40A(2). 12. Burden of proof lies on the Revenue to prove that the salary/rental payments made were excessive/unreasonable and that provisions of section 13 apply: Section 13 starts with a non-obstante clause and hence by virtue of the said provisions, exception to the exemption provided by section 11, is carved

THE ASSISTANT COMMISSIONER OF INCOME TAX,JALANDHAR vs. M/S. SADHU SINGH HAMDARD TRUST, JALANDHAR

Bench: Dr. M. L. Meena & Sh. Anikesh Banerjee

disallow the expenditure under Section 40A(2). 12. Burden of proof lies on the Revenue to prove that the salary/rental payments made were excessive/unreasonable and that provisions of section 13 apply: Section 13 starts with a non-obstante clause and hence by virtue of the said provisions, exception to the exemption provided by section 11, is carved

THE ASSISTANT COMMISSIONER OF INCOME TAX,JALANDHAR vs. M/S. SADHU SINGH HAMDARD TRUST, JALANDHAR

Bench: Dr. M. L. Meena & Sh. Anikesh Banerjee

disallow the expenditure under Section 40A(2). 12. Burden of proof lies on the Revenue to prove that the salary/rental payments made were excessive/unreasonable and that provisions of section 13 apply: Section 13 starts with a non-obstante clause and hence by virtue of the said provisions, exception to the exemption provided by section 11, is carved

DCIT, JALANDHAR vs. M/S. SADHU SINGH HAMDARD TRUST, JALANDHAR

Bench: Dr. M. L. Meena & Sh. Anikesh Banerjee

disallow the expenditure under Section 40A(2). 12. Burden of proof lies on the Revenue to prove that the salary/rental payments made were excessive/unreasonable and that provisions of section 13 apply: Section 13 starts with a non-obstante clause and hence by virtue of the said provisions, exception to the exemption provided by section 11, is carved

THE ASSISTANT COMMISSIONER OF INCOME TAX, JALANDHAR vs. M/S. SADHU SINGH HAMDARD TRUST, JALANDHAR

Bench: Dr. M. L. Meena & Sh. Anikesh Banerjee

disallow the expenditure under Section 40A(2). 12. Burden of proof lies on the Revenue to prove that the salary/rental payments made were excessive/unreasonable and that provisions of section 13 apply: Section 13 starts with a non-obstante clause and hence by virtue of the said provisions, exception to the exemption provided by section 11, is carved

THE DCIT, JALANDHAR vs. M/S. SADHU SINGH HAMDARD TRUST, JALANDHAR

Bench: Dr. M. L. Meena & Sh. Anikesh Banerjee

disallow the expenditure under Section 40A(2). 12. Burden of proof lies on the Revenue to prove that the salary/rental payments made were excessive/unreasonable and that provisions of section 13 apply: Section 13 starts with a non-obstante clause and hence by virtue of the said provisions, exception to the exemption provided by section 11, is carved

THE INCOME TAX OFFICER, AMRITSAR. vs. SH. SHIV RAJ SINGH BAWA, AMRITSAR.

In the result, the Revenue’s appeal is allowed and the assessee’s CO, dismissed

Bench: Sh. Sanjay Arora & Sh. N. K. Choudhryi.T.A. No. 407/Asr/2016 Assessment Year: 2012-13

disallowed if they are made in cash in the sums exceeding the amount specified under s. 40A(3). We have earlier observed that r. 6DD has to be read along with s. 40A(3). The rule also contemplates payments made for stock-in-trade and raw materials. This rule is in accordance with the terms of s. 40A(3

THE AZAD NAKODAR BUS SERVICE PRIVATE LIMITED,NAKODAR vs. DEPUTY COMMSSIONER OF INCOME TAC CIRCL-4E, JALANDHAR

In the result, appeal of the assessee is dismissed

Bench: Dr. M. L. Meena & Sh. Anikesh Banerjee

Disallowance under section 40A(3) could not be made as identity of persons from whom purchases had been made was established, source of cash payment was clearly identifiable and the said details were submitted before AO. K.K Constructions Co. Vs ACIT (ITAT, Jaipur) ITA990/JP/2017 In case of Gurdas Garg, Bhathinda Vs ACIT. In ITAT, Amritsar matter in favour of assessed

THE ASSISTANT COMMISSIONER OF INCOME TAX, JAMMU vs. SH. DARSHAN KUMAR MAHAJAN, PATHANKOT

In the result, the Revenue’s appeal is partly allowed and partly allowed for statistical purposes

Bench: Sh. Sanjay Arora & Sh. N. K. Choudhryi.T.A. No. 566(Asr)/2016 Assessment Year: 2013-14 Pan: Adjpm7623B

disallowed under the relevant section granting deduction itself, as section 37(1) in the instant case, so that there is no occasion to travel to the non obstante provision of section 40A(3), which seeks to impose an additional condition as to the mode of payment where it 6 ITA No.566 (Asr)/2016(AY 2013-14) Asst. CIT v Darshan

DUPTY COMMISSIONER OF INCOME TAX, BATHINDA vs. SH. VINOD ARORA, , BATHINDA

Bench: Sh. Ravish Sood & Dr. M. L. Meena

disallowance under sub-section (3) of section 40A shall be made and no payment shall be deemed to be the profits and gains of business or profession under sub-section (3A) of section 40A where a payment or aggregate of the payments made to a person in a day, otherwise than by an account payee cheque drawn on a bank

SH. PUNEET SEHDEV PROP;,JAMMU vs. THE INCOME-TAX OFFICER,, JAMMU

Bench: Shri L. P. Sahu & Shri Ravish Sood

section 40A(3). All the provisions were duly complied with. As such, no disallowance was called for and similarly the worthy CIT(A) was also not justified in confirming the same without appreciating the facts of the case. Alternatively, the disallowance made is very high & excessive. 8. Further, the A.O has grossly erred in not allowing the deduction claimed