https://www.taxtmi.com/caselaws?id=795184 Freight and allied expenditure supported by vendor particulars, invoices, transport records and banking evidence cannot be wholly disallowed solely because vendors do not respond to verification notices, absent material showing sham transactions or repayment to the assessee. Further lawful enquiry and examination of supporting material are required. Cash-payment disallowance must test payments to each person on a single day rather than annual aggregates; daily payment details require verification against the prescribed limit. Third-party statements proposed for reliance must be furnished to the assessee, with an effective opportunity to cross-examine the maker if requested. Expenditure claims require fresh verification consistent with procedural fairness. en-us Mon, 09 Mar 2026 00:00:00 +0530 Sat, 18 Jul 2026 08:28:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=795184 Freight and allied expenditure supported by vendor particulars, invoices, transport records and banking evidence cannot be wholly disallowed solely because vendors do not respond to verification notices, absent material showing sham transactions or repayment to the assessee. Further lawful enquiry and examination of supporting material are required. Cash-payment disallowance must test payments to each person on a single day rather than annual aggregates; daily payment details require verification against the prescribed limit. Third-party statements proposed for reliance must be furnished to the assessee, with an effective opportunity to cross-examine the maker if requested. Expenditure claims require fresh verification consistent with procedural fairness. Case-Laws Income Tax Mon, 09 Mar 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=795184