TaxTMI 
TaxTMI 
2025 (6) TMI 828
X X X X Extracts X X X X
X X X X Extracts X X X X
....ellate Tribunal is right in law deleting the addition made by the assessing officer in respect of development expenditure for levelling and filling to the tune of Rs. 2,96,67,138/-, even though the assessee could not establish the expenditure at any stage not proved on the basis of facts and evidences is valid? 2. Whether on the facts and in the circumstances of the case, the Appellate Tribunal was right in law in deleting the addition made by the assessing officer in respect of Road Development Expenses to the tune of Rs. 1,92,56,890/- even though the assessee could not establish the expenditure at any stage not proved on the basis of facts and evidences is valid? 3. Whether on the facts and in the circumstances of the ca....
X X X X Extracts X X X X
X X X X Extracts X X X X
....to as 'the Act'] and passed an order on 29.12.2009, determining the taxable income at Rs. 17,17,89,870/- and the tax payable at Rs. 3,94,05,743/-. (b) Aggrieved by the assessment order dated 29.12.2009, respondent filed an appeal before the Commissioner of Income Tax (Appeals)-IX, Chennai, [hereinafter referred to as 'CIT (A)'] on the ground that the assessing officer had disallowed the expenditures and deductions under the following heads. (i) Expenses towards development of the land - Rs. 6,97,78,544/- (ii) Payment of commission to broker - Rs. 80,55,898/- (iii) Interest on capital account - Rs. 1,01,75,000/- According to the respondent, they had incurred the expenses of Rs. 6,9....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ough there were discrepancies noticed in some of the bills produced by the contractors and there were no bills for most of the expenses claimed under this head; (b) that ITAT ought not to have allowed the expenses towards road development to the tune of Rs. 1,92,56,890/-, since respondent had not produced any details of work carried out or details of permits from the government authorities; (c) that respondent had not produced accounts in respect of expenses relating to salary, wages and rent; and (d) that both ITAT and CIT (A) had erroneously accepted assessee's claim with regard to the expenditures under various heads and had set aside the assessment order without any basis and therefore their findings are p....
X X X X Extracts X X X X
X X X X Extracts X X X X
....e made to the contractors by cheques and all the contractors had filed their return of income on time. Appellant has not made out any ground to interfere in the factual finding of CIT (A) and ITAT that respondent had in fact incurred expenses towards road development. 7. As regards the expenses incurred for repairing the compound wall, ITAT once again found that the physical verification confirmed that the compound wall which was originally damaged was repaired. 8. Similarly, as regards the expenditure incurred towards repairing of an old damaged well and overhead tank at Rs. 90,18,834/-, ITAT found that the expenses incurred towards such repair have not been disputed and therefore, allowed the entire claim of the said amount to be tr....