https://www.taxtmi.com/caselaws?id=77100 The Court ruled in favor of the assessee, holding that the cash payments made did not violate section 40A (3) of the Income-tax Act as no single payment exceeded Rs. 2,500 during the assessment year 1986-87. The Tribunal's decision to allow the deduction was upheld, emphasizing that the phrase "in a sum" refers to individual payments and not the total amount spent. The Court rejected the Department's argument based on a subsequent amendment, clarifying that it was not applicable retroactively. The judgment reaffirmed the importance of interpreting statutory provisions in alignment with legislative intent and established legal principles in tax matters. en-us Mon, 26 Oct 2009 00:00:00 +0530 Fri, 01 Feb 2013 15:28:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=77100 The Court ruled in favor of the assessee, holding that the cash payments made did not violate section 40A (3) of the Income-tax Act as no single payment exceeded Rs. 2,500 during the assessment year 1986-87. The Tribunal's decision to allow the deduction was upheld, emphasizing that the phrase "in a sum" refers to individual payments and not the total amount spent. The Court rejected the Department's argument based on a subsequent amendment, clarifying that it was not applicable retroactively. The judgment reaffirmed the importance of interpreting statutory provisions in alignment with legislative intent and established legal principles in tax matters. Case-Laws Income Tax Mon, 26 Oct 2009 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=77100