9911796707
TMI Blog1978 (4) TMI 115X X X X Extracts X X X X X X X X Extracts X X X X ..... and condone the delay. 2. This is an appeal by the assessee. The appeal relates to the asst. year 1975-76. The assessee is an individual and is a merchant carrying on business in grocery at a place called Kumbla, which is a village at 20 miles distance form Mangalore. The as on 6th May, 1974 made a payment of Rs. 3,000 in cash to one M/s. Ramakrishna Oil Mills at Kesargode. Later on, the assess ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the AAC and submitted that the payment was genuine. The assessee also filed before the AAC a letter from M/s. Ramakrishna Oil Mills dt. 27th Dec., 1976 which reads as under: "We M/s. Sri Ramakrishna Oil Mills, Mission Street, Mangalore-575001 do hereby certify that we had borrowed on 6th May, 1974 a sum of Rs. 3,000(Rupees Three Thousand only) in cash after banking hours from C.D. Das Vittal N ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 3,000 stating that were was no evidence to show that the payee insisted on cash payment 4 days in advance of the date on which oil was sold to the appellant. 5. The assessee is in appeal. The learned counsel for the assessee reiterated that the payment was genuine and submitted that the payment in cash was made after banking hours under unavoidable circumstances. He also sought to rely on a ci ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ase of M/s. Rajarajeshwari Weaving Mills vs. ITO(1) which provides considerable guidance on the approach to be adopted to the problem now before me. The circular is dt. 31st May, 1977. The assessment order is dt. 20th July, 1976. As observed by their Lordships, it is clear that the Circular can have no application to the present case. I also do not admit the additional material in the form of lett ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ated the payment in cash, for had the assessee declined to make the payment it may have resulted in strained by relationship when the other party was in need of funds and had approached the assessee for making an accommodation by way of payment in cash after banking hours. On the facts of the case, I would hold that the requirements of r. 6DD (j) are satisfied and I would delete the addition of Rs ..... X X X X Extracts X X X X X X X X Extracts X X X X
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