2019 (11) TMI 1150 - SCH - Income Tax

Deduction of compensation payment u/s 37(1) - assessee had entered into an agreement for purchase of an immovable property - there were number of charges and impediments in the title to the property and to clear this, the Assessee had to incur considerable expenditure - assessee could not provide the land then an MOU was executed to repay the principal with lumpsum compensation - CIT (A) held that the original MOU with the trust and the cancellation deed were executed on the same day on a stamp paper which was by way of an afterthought - Disallowance of expenditure u/s 37(1) - HELD THAT - SLP Dismissed.