Tribunal held that since Assessing Officer had not arrived at an exact figure of disallowance ,ad hoc disallowance of 50 % of rent is held to be not justified. (AY. 2006 -07)
Bhagwati Gases Ltd. v. DCIT (2019) 176 ITD 609 (Kol.)(Trib.)
S. 40A(2) : Expenses or payments not deductible–Excessive or unreasonable–Ad hoc disallowance of 50 % of rent–Held to be not justified.