https://www.taxtmi.com/article/detailed?id=534 Payments in cash to entities classifiable as primary agricultural credit societies are exempt from the disallowance under section 40A(3) by virtue of Rule 6DD; alternatively, where payments are effectively to cultivators, growers or producers (or their agents such as producer co operative societies), clause (e) of Rule 6DD may justify exemption. The Calcutta High Court summarily dismissed the revenue's appeal after the Tribunal accepted the exemption, though the court's order leaves some ambiguity whether the payees were credit societies or producer co-operative societies. The author contends that disallowing recorded cash payments does not effectively check tax evasion and recommends targeting recipients for assessment. en-us Wed, 21 Oct 2009 00:00:00 +0530 Wed, 21 Oct 2009 23:34:40 +0530 TaxTMI RSS Generator https://www.taxtmi.com/article/detailed?id=534 Payments in cash to entities classifiable as primary agricultural credit societies are exempt from the disallowance under section 40A(3) by virtue of Rule 6DD; alternatively, where payments are effectively to cultivators, growers or producers (or their agents such as producer co operative societies), clause (e) of Rule 6DD may justify exemption. The Calcutta High Court summarily dismissed the revenue's appeal after the Tribunal accepted the exemption, though the court's order leaves some ambiguity whether the payees were credit societies or producer co-operative societies. The author contends that disallowing recorded cash payments does not effectively check tax evasion and recommends targeting recipients for assessment. Articles Income Tax Wed, 21 Oct 2009 00:00:00 +0530 https://www.taxtmi.com/article/detailed?id=534