https://www.taxtmi.com/caselaws?id=342624 The appellant, a firm engaged in contract works, successfully challenged the disallowance of sundry creditors under section 68 of the Income Tax Act. The ITAT found that the appellant's machinery rent expenditure was genuine, leading to the reversal of the disallowance. Additionally, the disallowance of machinery maintenance expenditure under section 40(a)(ia) was overturned as the appellant proved the nature of the expenditure as reimbursement for fuel and spare parts, not subject to tax deduction. The ITAT ruled in favor of the appellant, directing the deletion of both disallowances. en-us Fri, 05 May 2017 00:00:00 +0530 Tue, 09 May 2017 07:40:21 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=342624 The appellant, a firm engaged in contract works, successfully challenged the disallowance of sundry creditors under section 68 of the Income Tax Act. The ITAT found that the appellant's machinery rent expenditure was genuine, leading to the reversal of the disallowance. Additionally, the disallowance of machinery maintenance expenditure under section 40(a)(ia) was overturned as the appellant proved the nature of the expenditure as reimbursement for fuel and spare parts, not subject to tax deduction. The ITAT ruled in favor of the appellant, directing the deletion of both disallowances. Case-Laws Income Tax Fri, 05 May 2017 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=342624