2014 (1) TMI 1258

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.... T. R. Sood, AM:- In all these appeals various grounds have been raised, but at the time of hearing it was pointed out on behalf of the assessee that the only issue is regarding disallowance of sundry expenses which consisted payment to dock workers which has been disallowed as same is not permissible under the law. 2. Before us Ld. Senior Advocate Shri Y.P.Trivedi submitted that the issue i....

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....e paras 7 & 8 which are as under: 7. We have considered the rival submissions carefully. We agree with the submission of the learned senior Advocate that after the lapse of almost 12 years no useful purpose would be served if the matter is restored back to the file of the A.O. to make fresh enquiries whether the clients of the assessee were aware that they were required to reimburse the illegal....

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....ent employees - Held, yes - Whether, however, where assessee failed to establish that actually payment had been made to extent indicted in vouchers, 25 per cent of expenditure incurred by way of payment of speed money was to be disallowed on estimate basis - Held, yes." From the above it is clear that if it can be finally found that money was paid to the government employees only then this would b....

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....e assessee. Therefore, we set aside the order of the learned CIT(A) and direct the A.O. to disallow 25% of Rs. 18,46,151/- and Rs. 13,84,432/- for A.Y. 1997-98 and 1998- 99 respectively being alleged illegal expenses." In the present case also Ld. Sr. Advocate agreed that he will have no objection if sundry expenses are disallowed to the extent of 25% of the expenses. Therefore, in view of the ....