https://www.taxtmi.com/caselaws?id=465592 A recorded liability arising from the purchase of a cinema hall could not be treated as unexplained sundry creditors merely on suspicion, where the sale deed, books, audit records and banking confirmations supported the deferred payment; the addition was deleted. Depreciation on the cinema hall was also held allowable because the asset was owned, capitalised and put to use for business, and the allowance did not depend on the level or estimation of income; that disallowance was deleted. Repair expenses relating to the lodging business were similarly allowed as business expenditure linked to an existing asset. The disallowance of unpaid statutory liabilities was, however, sustained because the ground was not pressed and the amount remained unpaid beyond the relevant due date. en-us Fri, 14 Dec 2012 00:00:00 +0530 Thu, 01 Jan 2026 14:41:36 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=465592 A recorded liability arising from the purchase of a cinema hall could not be treated as unexplained sundry creditors merely on suspicion, where the sale deed, books, audit records and banking confirmations supported the deferred payment; the addition was deleted. Depreciation on the cinema hall was also held allowable because the asset was owned, capitalised and put to use for business, and the allowance did not depend on the level or estimation of income; that disallowance was deleted. Repair expenses relating to the lodging business were similarly allowed as business expenditure linked to an existing asset. The disallowance of unpaid statutory liabilities was, however, sustained because the ground was not pressed and the amount remained unpaid beyond the relevant due date. Case-Laws Income Tax Fri, 14 Dec 2012 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=465592