Tribunal allowed 80 per cent of expenses on ground that though works were not executed by these three sub-contractors, still related work was executed by some other persons and disallowed 20 per cent of expenses paid to these three sub-contractors. High Court affirmed the order of the Tribunal. (AY.2008 -09, 2009 -10)
Akrati Promoters and Developers. V. DCIT (2020) 268 Taxman 83 (All.)(HC)
S. 40A(2) : Expenses or payments not deductible–Excessive or unreasonable-Sub-contractors-Relatives of partners–20% of disallowance up held by the Tribunal is affirmed. [S. 37(1) ]