COMMISSIONER OF INCOME TAX Vs. SHELLY PASSI

JUDGEMENT

(1.) This appeal has been preferred by the Revenue under section 260A of the Income-tax Act, 1961 (in short, "the Act"), against the order dated May 11, 2012, annexure 3 passed by the Income-tax Appellate Tribunal, Chandigarh Bench "A", Chandigarh (for brevity, "the Tribunal") in I.T.A. No. 1151/Chandi/2011 for the assessment year 2008-09, claiming the following substantial questions of law:

(2.) Learned counsel for the Revenue submitted that the assessee had violated the provisions of section 40A(3) of the Act and, therefore, the addition of Rs. 60,19,000 made by the Assessing Officer was wrongly deleted by the Tribunal. Relying upon the judgment of this court in CIT v. SAS Educational Society, 2009 319 ITR 65, it was submitted that the Tribunal had erroneously accepted the plea of the assessee whereas in view of the express provisions of section 40A(3) of the Act, any amount paid in cash in excess of Rs. 20,000 was inadmissible.

(3.) After giving thoughtful consideration to the submissions made by the learned counsel for the appellant, we do not find any merit in this appeal.