The ITO disallowed the amount deducted as securities transaction tax against a trading transaction on the ground that the amount was not deposited with the authorities and therefore, the provisions of section 43B of the Act . The Commissioner (Appeals) affirmed the order. On a writ petition challenging the vires of the provisions of section 43B dismissing the petition, the Court held that  the assessee had not deposited the amount deducted as securities transaction tax with the authorities nor paid it back or returned it to the person from whom it was deducted. The assessee followed the mercantile system of accounting. The orders were neither perverse nor illegal to be interfered with.( AY.2006-07)