https://www.taxtmi.com/caselaws?id=349378 The Tribunal allowed the appeal of the assessee, engaged in the trading of precious stones, challenging the addition of liabilities under Section 41(1) of the Income Tax Act. The Tribunal held that the liabilities, although unpaid for several years, were subsisting, and mere non-payment did not constitute cessation or remission of liability. Citing precedents, the Tribunal emphasized the need for a genuine cessation or remission during the relevant year for Section 41(1) to apply. Consequently, the Tribunal directed the deletion of the addition made by the Assessing Officer, ruling in favor of the assessee. en-us Fri, 06 Oct 2017 00:00:00 +0530 Thu, 12 Oct 2017 08:21:18 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=349378 The Tribunal allowed the appeal of the assessee, engaged in the trading of precious stones, challenging the addition of liabilities under Section 41(1) of the Income Tax Act. The Tribunal held that the liabilities, although unpaid for several years, were subsisting, and mere non-payment did not constitute cessation or remission of liability. Citing precedents, the Tribunal emphasized the need for a genuine cessation or remission during the relevant year for Section 41(1) to apply. Consequently, the Tribunal directed the deletion of the addition made by the Assessing Officer, ruling in favor of the assessee. Case-Laws Income Tax Fri, 06 Oct 2017 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=349378