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2016 (12) TMI 555 - ITAT JAIPURDisallowance made u/s 40A(3) - CIT(A) confirming the disallowance towards making cash payment for purchase of land as capital assets, holding the same as purchase of stock in trade - Held that:- As perusuing the materials available on record it is noted from fixed assets chart of the company from audited accounts that as on 31st March 2012 assessee company has credited the tangible assets by an amount of ₹ 36,30,983/- which is shown as investment in the land. Also gone through the Memorandum and Articles of Association wherein the main objects to be pursued by the company on its incorporation to manage land buildings, to deal in real and personal property, to invest and deal with the money of the company not immediately required to in such a manner as the company may deem fit. It also includes acquire any movable and immovable property. The accounts of the assessee shows that the assessee has not claimed any such expenditure in its profit and loss account. Therefore, there cannot be any disallowance of such expenditure by invoking the provisions of Section 40A(3) of the Act - Decided in favour of assessee
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