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2020 (8) TMI 303 - AT - Income TaxDisallowance of Sales Promotion Expenses - appellant could not furnish necessary evidences in support of expenses incurred - HELD THAT:- Except for the finding that assessee has not been able to produce the parties no cogent material has been brought by the assessing officer to make the disallowance. Assessee is engaged into the business of sales and marketing. No material is on record that these expenses are excessive or abnormal. The parties to whom the payments are made are well-established parties. It is beyond comprehension as to how the assessing officer's notes that he is not in possession of the correct address of Google India. The assessee has duly furnished the addresses. When there was no response, the assessing officer could very well have issued the summons under section 131. Without issuing any summon to the concerned parties the ignorance of all the documentary evidence for the payment and its genuineness is not at all sustainable. The disallowance is based upon surmise and conjecture. CIT(A) has not applied any mind. He has copied the order of the assessing officer and thereafter virtually dismissed the appeal for non-prosecution. Such an order is not at all legally sustainable. As regards the lack of evidence is concerned, when there are invoices and books of account, what else is required has not been spelt out by learned CIT(A). He has not at all referred that the AO was actually looking for the assessee to produce these parties. An appellate order showing such lack of application of mind is not sustainable. - Decided in favour of assessee.
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