Entire business expenses disallowed despite active painting business; ITAT restricts disallowance to 20%, partly allowing appeal

ITAT partially allowed a taxpayer’s appeal where tax authorities had disallowed all business expenses. The article details assessment issues, judicial reasoning, and proportional disallowance of 20% of expenses. It emphasizes taxpayer rights, adherence to principles of natural justice, and importance of substantiating business expenditure claims in income-tax proceedings.