2016 (8) TMI 568

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....nal whereby the Tribunal has dismissed the appeals of the revenue by confirming the order of the CIT (A) and reversed the order of the AO. 3. The short facts of the case are that during the course of the assessment proceedings, the AO found various payments exceeding Rs. 2500/- made in cash, in breach of Section 40A(3) of the Act. The AO therefore made disallowance of Rs. 1,42,17,740/- invoking section 40A(3). The AO assessed a sum of Rs. 16,89,733/- being the amount appearing in credit side of the suspense account because the assessee had not given any cogent reason for explaining the same. 3.1 The CIT (A) deleted the disallowance made under Section 40A(3) and the view taken by the CIT (A) has been confirmed by the Tribunal which has give....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... is upheld." 5.2 In support of the submissions, learned Counsel for the department has placed reliance upon the decision of the Panjab and Haryana High Court reported in 225 ITR 0072 and Andhra Pradesh High Court reported in 357 ITR 523 and contended that the issue may be answered in favour of the department. 6. On the other hand, learned Counsel Mr.Hasurkar has supported the order passed by the tribunal which had confirmed the order of the CIT (A) and the order passed by the tribunal is just and proper and this Court may dismiss the appeal of the department. 7. The CIT (A) in its order has observed thus: "I have considered the above arguments carefully and I have gone through the assessment order, copies of transport receipts and the ....