2022 (6) TMI 1397

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.... Ld. ARs For the Respondent : Shri ARV Sreenivasan (Addl. CIT) -Ld. DR ORDER Manoj Kumar Aggarwal (Accountant Member) 1. Aforesaid appeal by assessee for Assessment Year (AY) 2016-17 arises out of the order of learned Commissioner of Income Tax (Appeals), Puducherry [CIT(A)] dated 28.02.2020 in the matter of assessment framed by the Learned Assessing Officer [AO] u/s. 143(3) of the Act....

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....he assessee into the bank account of the suppliers. The Ld. Sr. DR, on the other hand, submitted the assessee violated the provisions of Sec.40A(3) and none of the exception as enumerated in the provisions was applicable to the case of the assessee. Having heard rival submissions, our adjudication would be as under. 4. The assessee being resident firm is stated to be engaged in the business of ....

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....that the cash payment was due to exceptional or under unavoidable circumstances. The assessee also could not prove that the payments were covered by any of the exceptions as carved out in Rule 6DD of Income Tax Rules. The case laws as relied upon by the assessee were held to be distinguishable on facts. Accordingly, the disallowance of Rs. 12,71,789/- was confirmed against which the assessee is in....