Dear All,
My client had purchased land of an extent of 3 acres in cash for Rs.2.00 crores by various parties (viz., 10 vendors) and sold the same in the form of plots after setting aside land for roads formn and for other amenities.
Assessing officer while processing return of income u/s.143(2) of IT Act'1961 had pointed out that entire purchs being made in cash and debited to P & L account may be disallowed u/s.40A(3) of IT Act'1961
Kindly provide your valuable guidance & support in this regard
CAclubindia
