Dismissing appeal of the revenue the Court held that, where the income is computed applying the gross profit rate , no disallowances can be made by applying provisions of S.40A(3).
CIT v. Jadau Jewellers And Manufactures (P) Ltd. (2018) 409 ITR 85 (Raj)(HC) Editorial: SLP is granted to the revenue ,CIT v. Jadau Jewellers And Manufactures (P) Ltd. ( 2016) 406 ITR 4 (St.)
S. 40A(3) : Expenses or payments not deductible – Cash payments exceeding prescribed limits – Where the income is computed applying the gross profit rate , no disallowances can be made by applying provisions of S.40A(3) [ S. 36, R.6DD(j) ]