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2019 (10) TMI 922 - AT - Income TaxRectification u/s 154 - Disallowance of Leave Encashment liability - HELD THAT:- Since the CIT (A) has pointed out that the assessee itself has shown the payment as investment in the LIC and other companies and the interest accrued on such fund was credited to the Profit & Loss account, therefore, the AO has to just verify the fact whether any income accruing on the policy taken by the assessee was actually received by the assessee or it is just an accounting treatment by the assessee without actual income. If the benefit accrued on the policy is only accumulated to the fund itself which is to be used for discharge of liability on account of Leave Encashment, then such income though assessee has credited in the Profit & Loss account would not partake the character of real income but it would be only accumulation of the value of the policy to be used for discharge of the liability on account of leave encashment. We direct the AO to verify these facts and then allow the claim of the assessee in the above terms. Miscellaneous Application of the assessee is dismissed. While passing the subsequent order Tribunal has concurred with the findings of the Tribunal given in the impugned. Hence in view of the facts and circumstances that when no mistake apparent on record is pointed out by the assessee then the miscellaneous application for seeking the relief which was not granted by the AO is not maintainable.
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