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2012 (8) TMI 182 - AT - Income TaxAllowability of rent paid to the owner of the property by the assessee - Assessing Officer rejected the claim of expenditure only on the basis that the investment for the construction is made by the society – Held that:- In the same building the top floor was rented at Rs. 25 per sq. ft - ground floor which is paying Rs. 35 per sq. ft. since 1995 - charging of rent at Rs. 10 per sq. ft. is very reasonable and there is no basis for the lower authorities to reduce the rent claimed by the assessee. In our opinion, the claim of the assessee is justified and the same has to be allowed - payment of Rs. 10 per sq. ft. is reasonable instead of Rs. 9 per sq. ft. determined by the CIT(A). Whether CIT erred in allowing "P-money" as petrol expenditure without proper evidence - entry in the seized material wherein "P-money" was written - Assessing Officer is of the view that "P-money stands for pocket money and treated it as undisclosed income of the assessee - According to the assessee "P-money" indicates money for petrol utilised for vehicles used by the assessee – Held that:- There was no material on record to show on what basis the Assessing Officer had reached to the conclusion - no conclusive evidence to show that "P-money" reflects pocket money in the absence of corroborative material to hold that the "P-money" suggests the pocket money – In favor of assessee
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