Assessee can claim expense on removal of encumbrance created by ancestors

During the course of appellate proceedings, the representative of the assessee submitted that the expenditure towards proportionate compensation of Rs. 79,36,350/- is allowable u/s. 48(1) of the Act, as upon succession of the impugned property, the assessee had paid the compensation as per the document submitted. The representative averred that where the assessee’s ancestors create any lien, mortgage or any actionable claim, and the assessee who inherits the property makes payment for the purpose of clearing of such actionable claims for perfecting

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