Addition u/s 40A(3) - Cash expenditure - assessee has made ...

Income Tax

April 20, 2024

Addition u/s 40A(3) - Cash expenditure - assessee has made payments to the land owners exceeding INR 20,000/- - The Tribunal agreed with the appellant's argument to some extent, acknowledging that the disallowance should have been restricted to 20% of the total expenditure exceeding the prescribed limit. While the appellant failed to provide substantial evidence of business expediency, the Tribunal recognized that the disallowance should adhere to the provisions of section 40A(3), limiting it to 20%.

View Source

← Previous Next →

Addition u/s 40A(3) - Cash expenditure - assessee has made ...

Income Tax

April 20, 2024

You may also like:

Payment of expenditures in cash - payment to the Government undertaking for supply of electricity are not covered by the provisions of section 40A(3) - addition made by...

Disallowance u/s 40A(3) - 20% of the expenditure made in cash - payment made towards advance - decided in favor of assessee - AT

Addition u/s 40A(3) - Payment not made in cash but paid to third parties on behalf of supplier of goods – AO was not justified in invoking the section 40A(3) - AT

Disallowance u/s 40A(3) - cash payment - There is no case of addition of section 40A(3) with regard to purchases that were made on account of capital items - AT

Addition u/s. 40A(3) - additions made towards cash payments in excess of prescribed limit - Since, the assessee was only an agent for distributor and collected money...

Payment of expenditure in cash in excess of ₹ 20,000/- - Provisions of section 40A(3) are not applicable to capital expenditure. - AT

Payment of expenditure in Cash - the cash deposited to the bank account of a recipient does not fall within the purview of Section 40A(3) - HC

Disallowance u/s 40A(3) - cash payment for purchase of land - assessee has filed necessary evidences to prove that the impugned land has been acquired as an investment...

Addition u/s 40A(3) - cash payment in excess of prescribed limit - Genuineness or otherwise of payment is not a criteria to exclude cash payment in excess of prescribed...

Disallowance of cash payments u/s 40A(3) - making additions by invoking the provisions of section 40A(3) of the Act amounts to double additions which is not permissible...

Quick Updates: