ITAT upheld disallowance of Rs 2 lakhs to plug possible leakages
Dec. 01, 2016
Dr Vikaramsinha Kakasaheb paid a salary of Rs 19.5 lakhs to his doctor wife, who worked at his nursing home. A.O. observed that assessee had made higher payments to his wife as compared to other doctors. A.O. considered Rs 6 lakhs as reasonable salary and balance of Rs 13.5 lakhs as unreasonable u/s 40A(2)(b). CIT(A) sustained a disallowance of Rs 2 lakhs to plug possible leakages. ITAT upheld CIT(A)s order. - 500439