https://www.taxtmi.com/caselaws?id=297608 The Tribunal allowed the appeal, deleting the disallowance under Section 40A(3) of the Income Tax Act, 1961. The appellant successfully demonstrated the genuineness of cash payments exceeding Rs. 20,000 made for electricity charges to a private company under business expediency, citing various judicial precedents. The Tribunal emphasized the legislative intent of Section 40A(3) to prevent tax evasion, not penalize genuine transactions, and liberally interpreted Rule 6DD to accommodate exceptional circumstances. Consequently, the disallowance of Rs. 3,20,410 was overturned in favor of the appellant. en-us Wed, 03 Apr 2019 00:00:00 +0530 Tue, 14 Sep 2021 08:47:12 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=297608 The Tribunal allowed the appeal, deleting the disallowance under Section 40A(3) of the Income Tax Act, 1961. The appellant successfully demonstrated the genuineness of cash payments exceeding Rs. 20,000 made for electricity charges to a private company under business expediency, citing various judicial precedents. The Tribunal emphasized the legislative intent of Section 40A(3) to prevent tax evasion, not penalize genuine transactions, and liberally interpreted Rule 6DD to accommodate exceptional circumstances. Consequently, the disallowance of Rs. 3,20,410 was overturned in favor of the appellant. Case-Laws Income Tax Wed, 03 Apr 2019 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=297608