2025 (4) TMI 617 - SCH - Income Tax

Addition of cash transactions u/s 40A(3) - assessee had purchased gold jewellery worth Rs. 34.68 Crores by way of cash in the auction - as decided by HC 2019 (1) TMI 607 - MADRAS HIGH COURT Assessee could not demonstrate that he was representing any syndicate nor he could demonstrate that he was collecting cash from such syndicate members for making payments to the Finance Company. The Tribunal correctly held that the assessee was unable to demonstrate a situation which compelled him to make payment in cash which would have exempted him from application of recourse of Section 40A(3) of the Act. HELD THAT - Having heard the petitioner and having gone through the materials on record we see no reason to interfere with the impugned order passed by the High Court. The Special Leave Petition is accordingly dismissed.

Summary

**Supreme Court Judgment Summary:**In the case presided over by Hon'ble Mr. Justice J. B. Pardiwala and Hon'ble Mr. Justice R. Mahadevan, the Supreme Court addressed a Special Leave Petition. Represented by Mr. R. Sivaraman and Mr. Ravi Raghunath, the petitioner sought to challenge an order from the High Court. The respondent's legal team included Mr. Raghavendra P Shankar and others.Key legal determinations included:1. The Court condoned any delay in filing.2. After reviewing the arguments and records, the Court found "no reason to interfere with the impugned order passed by the High Court."3. Consequently, the Special Leave Petition was dismissed.4. Any pending applications related to this matter were disposed of.