https://www.taxtmi.com/caselaws?id=299056 The High Court ruled in favor of the assessee, upholding the genuineness of cash payments exceeding Rs. 2500 made to truck drivers for transportation of concrete/cement pipes during the assessment year 1986-87. The Court found the payments fell under exceptions provided in Section 40A(3) and Rule 6DD(j) due to the absence of banking facilities at the site. The Supreme Court emphasized that Section 40A(3) should not impede legitimate business transactions and clarified the wide scope of "expenditure." Ultimately, the Income Tax Appeal against disallowance of cash payments was dismissed in favor of the assessee. en-us Thu, 28 Jul 2011 00:00:00 +0530 Thu, 02 Dec 2021 12:29:28 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=299056 The High Court ruled in favor of the assessee, upholding the genuineness of cash payments exceeding Rs. 2500 made to truck drivers for transportation of concrete/cement pipes during the assessment year 1986-87. The Court found the payments fell under exceptions provided in Section 40A(3) and Rule 6DD(j) due to the absence of banking facilities at the site. The Supreme Court emphasized that Section 40A(3) should not impede legitimate business transactions and clarified the wide scope of "expenditure." Ultimately, the Income Tax Appeal against disallowance of cash payments was dismissed in favor of the assessee. Case-Laws Income Tax Thu, 28 Jul 2011 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=299056