2023 (1) TMI 867 - AT - Income Tax
Disallowance expenditure u/s 37(1) - as perusing the details of “other expense” AO noted that assessee has claimed expenditure on account of “claims/bills submitted but not acknowledged” - CIT-A deleted addition - HELD THAT:- CIT(A) while deciding the issue in favour of the assessee has given a finding that the additional claims lodged by the assessee with various parties were not admitted by those parties and therefore no income can be said to have accrued to the assessee as no right have been vested in the assessee to recover the amount and accordingly under the law no debt can be said to have created in favour of the assessee. He therefore held that the entries made by the assessee was only a hypothetical income and not a real income.
Before us Revenue has not pointed to any fallacy in the finding of the Ld. CIT(A) nor has placed on record any contrary binding decision in its support.
Appeal of revenue dismissed.