2022 (4) TMI 455

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....us the assessee has assailed the impugned order on the following grounds of appeal: "1. The learned CIT(A) has erred in allowing the disallowance of expenditure of Rs. 1,27,391/- on account of Final Settlement Expenses which is bad in law as well as on the facts and circumstances of the case which may kindly be deleted. 2. The learned CIT(A) has erred in allowing the disallowance of expenditures of Rs. 35077/- on account of car and Telephone expenses which is bad in law as well as on the facts and circumstances of the case which may kindly be deleted. 3. The order of the learned CIT(A) is erroneous both in law and on facts. 4. The appellant may be allowed the relief prayed for. 5. The appellant c....

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.... the Assessing Officer after observing that the assessee had failed to place on record any material to substantiate his aforesaid claim for deduction of expense had on an ad hoc basis disallowed 20% of the same i.e. an amount of Rs. 1,27,391/. 6. On a perusal of the orders of the lower authorities, we find that the assessee on being queried as regards the nature of the aforesaid expenditure, viz. "Final Settlement Expenses", had therein submitted that the same was booked at the time of final payment when buyer would retract from the 'payment agreed upon'. It was claimed by the assessee that the aforesaid expenditure could vary each year and was dependent on multiple factors. Observing, that the assesee had failed to discharge the 'onus' ....