https://www.taxtmi.com/caselaws?id=285337 Cash purchases were treated as allowable expenditure where the genuineness of the payments and the identity of the payees were accepted, and the purchases were made at places different from the assessee's business location without an account at those places. Rule 6DD(j) and Board Circular No. 220 recognised such circumstances as an exception to the general prohibition on cash payments. On those facts, the mere possibility of payment by cheque or draft did not justify disallowance, and the cash purchases were covered by the exception and allowable as expenditure. en-us Wed, 18 Nov 1987 00:00:00 +0530 Wed, 08 Jan 2020 18:34:14 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=285337 Cash purchases were treated as allowable expenditure where the genuineness of the payments and the identity of the payees were accepted, and the purchases were made at places different from the assessee's business location without an account at those places. Rule 6DD(j) and Board Circular No. 220 recognised such circumstances as an exception to the general prohibition on cash payments. On those facts, the mere possibility of payment by cheque or draft did not justify disallowance, and the cash purchases were covered by the exception and allowable as expenditure. Case-Laws Income Tax Wed, 18 Nov 1987 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=285337