https://www.taxtmi.com/caselaws?id=373052 The Tribunal allowed the appeal of the assessee, holding that the addition under Section 41(1) was not sustainable. The Tribunal emphasized that the liabilities were continuously acknowledged in the balance sheet and that mere non-payment does not constitute cessation of liability under Section 41(1). The decision was based on the principle that the burden of proof lies on the AO to establish the cessation of liabilities. Consequently, the addition made by the AO and sustained by the CIT(A) was deleted. en-us Thu, 03 Jan 2019 00:00:00 +0530 Sat, 05 Jan 2019 08:06:32 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=373052 The Tribunal allowed the appeal of the assessee, holding that the addition under Section 41(1) was not sustainable. The Tribunal emphasized that the liabilities were continuously acknowledged in the balance sheet and that mere non-payment does not constitute cessation of liability under Section 41(1). The decision was based on the principle that the burden of proof lies on the AO to establish the cessation of liabilities. Consequently, the addition made by the AO and sustained by the CIT(A) was deleted. Case-Laws Income Tax Thu, 03 Jan 2019 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=373052