Held that payment in cash not claimed as expenditure and books of account not rejected no disallowance can be made. Similarly when additional payment of purchase of land was not claimed as deduction, no disallowance can be made. Followed, Westland Developers Pvt. Ltd. v. ACIT (ITA No. 1752/Delhi/ 2013 dt. 22-8-2014 (Delhi)(Trib.). (AY. 2005-06, 2006-07)
USG Buildwell Pvt. Ltd. v. Add. CIT (2021) 87 ITR 151 (Delhi)(Trib.)
S. 40A(3) : Expenses or payments not deductible-Cash payments exceeding prescribed limits-Not claimed as expenditure-Books of account not rejected-No disallowance can be made-Additional payment for purchase of land-Deduction not claimed-No disallowance can be made. [S. 37(1), 145]