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2019 (5) TMI 1941 - AT - Income TaxDisallowance u/s 40(a)(ia) for non-deduction of tax on finance charges paid to NBFCs - HELD THAT:- As decided in own case [2018 (1) TMI 1685 - ITAT RAIPUR] information was not available with the AO Considering the overall aspect of the fact that NBCSs have offered its income, the matter has to be verified by the AO - we set aside the order of the Ld. CIT(Appeals) on this issue and restore the matter to the file of the Assessing Officer for verification of the certificates of the Chartered Accountants. AO shall grant reasonable opportunity of hearing to the assessee in accordance with law. Hence, ground No.1 raised in appeal by the assessee is allowed for statistical purposes. Addition of labour payments - in-genuine payment - HELD THAT:- We observe that the Revenue has not conducted any specific enquiry or has not brought in any material on record to substantiate that these labour payments were not genuine. Just because thumb impression is there, it cannot be said that the transactions were not genuine since in India when the dealing is done with labourers, practicality demands that the money receipt is the thumb impressions to the concern labourers. Revenue should bring out cogent material for making such disallowances - As relying on [2014 (12) TMI 1397 - ITAT RAIPUR] tax liability cannot be fastened to the assessee by the AO without bringing some positive evidence against the assessee on record, that the disallowance of addition has to be backed by some documentary/oral evidence which could prove that the claim made by it of an expenditure was not genuine. In the case under consideration, the AO has made a lump sum disallowance, but same is not backed by any evidence. Considering the peculiar facts and circumstances of the case under consideration, we are of the opinion that the order of the FAA does not suffer from any legal or factual infirmity - Decided in favour of assessee.
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