COMMISSIONER OF INCOME TAX Vs. CHAUDHARY AND CO

JUDGEMENT

(1.) THIS is an income-tax reference under Section 256(2) of the Income-tax Act, 1961. The following question has been referred to us at the instance of the applicant :

(2.) WE have heard Shri Rajesh Kumar Agarwal, learned counsel for the Department, and Shri V.K. Rastogi, for the assessee.

(3.) SHRI Rajesh Kumar Agarwal had contended that merely because the party insisted on payment in cash that does not come in any of the exceptional circumstances laid down in Rule 6DD(j). We are of the opinion that if the assessee merely makes a bald averment that this seller has been insisting on cash payment then no doubt it could have been said that the case is not covered by Rule 6DD(j) of the Rules. However, in the present case the totality of circumstances indicates that the view taken by the Tribunal is not incorrect. The considerations taken into account by the Tribunal were ;