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2015 (1) TMI 433 - ANDHRA PRADESH HIGH COURTBlock Assessment - Addition on account of payment made for for purchasing of a plot - Held that:- plea of the appellant was that the amount was held by the company and that it was paid to the owner of the land. The transaction did not fructify and it was paid back to the company. Neither the person, who is said to have received the amount nor any other individual, were examined to prove that the payment was by; or, for and on behalf of the appellant herein. The plea of the appellant was that the department did not cross-verify the matter from any authorized representative of the company. Therefore, whether one goes by the factum of the Department itself treating the only documents, namely, receipts as not true; or their failure to record the statements of any individual including the authorized representative of the company, the very basis for the proceedings ceases to exist. - Assessing Officer as well as the Tribunal proceeded on the assumption that the appellant was under obligation to explain the factum of payment. When the amount was not recovered nor was said to be in the control and custody of the appellant, there was no basis for initiating that proceedings. - Decided in favour of assessee.
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