Dismissing the appeal of the revenue the Court held that ,Assessee exporter of frozen buffalo meat. payment made to producer of meat in cash in excess of Rs 20000/ disallowance cannot be made. Circular No 8 of 2016 issued by CBDT cannot impose additional condition in the Act or Rules adverse to an assessee. Relied UCO Bank v. CIT (1999) 237 ITR 889 (SC) ( ITA No. 1224 of 2015 dt . 13-03 2018) ( AY. 2009 -10)
PCIT v.Gee Square Exports (2018) 100 taxmann.com 461 / BCAJ – May. 61/ ( 2019) 411 ITR 661 ( Bom)(HC).Editorial: SLP of revenue is dismissed , PCIT v. Gee Square Exports (2018) 100 taxmann.com 462 /( 2019) 260 Taxman 175( SC)
S. 40A(3) :Expenses or payments not deductible – Cash payments exceeding prescribed limits – Payment made to producer of meat in cash in excess of Rs 20000/ disallowance cannot be made .Circular No 8 of 2016 dt 6-10-2016 issued by CBDT cannot impose additional condition in the Act or Rules adverse to an assessee. [ R.6DD (e(]