https://www.taxtmi.com/caselaws?id=11076 Section 40A(3) is not absolute, and its disallowance can be avoided where the assessee shows that payment by the prescribed mode was not practicable or would have caused genuine difficulty, bringing the case within rule 6DD(j). Genuine and bona fide transactions are not automatically outside the provision, but business expediency and other relevant circumstances may justify cash payment. Where the Tribunal found that the payee insisted on cash and the transactions were genuine, the factual basis supported application of the exception and no interference was warranted with that conclusion. en-us Mon, 19 Jan 2004 00:00:00 +0530 Thu, 30 Jul 2009 18:20:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=11076 Section 40A(3) is not absolute, and its disallowance can be avoided where the assessee shows that payment by the prescribed mode was not practicable or would have caused genuine difficulty, bringing the case within rule 6DD(j). Genuine and bona fide transactions are not automatically outside the provision, but business expediency and other relevant circumstances may justify cash payment. Where the Tribunal found that the payee insisted on cash and the transactions were genuine, the factual basis supported application of the exception and no interference was warranted with that conclusion. Case-Laws Income Tax Mon, 19 Jan 2004 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=11076