Category: Income-Tax Act

Archive for the ‘Income-Tax Act’ Category


Chander mohan Lall v. ACIT (2022) 193 ITD 352 / 215 TTJ 498/ 209 DTR 129 (Delhi)(Trib.)

S. 40(a)(i) : Amounts not deductible-Deduction at source-Non-resident attorneys-Professional fees-Reimbursement of expenses-No obligation to deduct tax at source-Disallowance was deleted-Article 12 of the OECD Model Convention. [S. 9(1)(vii), 195]

Deccan Creations (P.) Ltd. v. DCIT (2022) 193 ITD 5 (Bang.) (Trib.)

S. 40(a)(i) : Amounts not deductible-Deduction at source-Non-resident-Fes for technical services-Sales commission to foreign agents-Permanent Establishment (PE) in India-Not liable to deduct tax at source-OECD Model Convention Arts, 5, 7, 12-DTAA-India-Australia. [S. 9(1)(i), 9(1)(vii), 195, Art. 7]

DCIT v. Godawari Power & Ispat Ltd. (2022) 193 ITD 869 (Raipur)(Trib.)

S. 37(1) : Business expenditure-CSR expenses-Welfare of local community and thereby improving corporate image-Allowable as business expenditure-Expenditure incurred towards Pooja and purchase and distribution of sweets for Pooja was allowable as business expenditure.

ACIT v. Armee Infotech (2022) 193 ITD 728 (Ahd.)(Trib.)

S. 37(1) : Business expenditure-Provision for warranty-Replacement of batteries-Allowable as deduction-Sales promotion expenses-Expenditure for giving valuable gifts to certain parties-Disallowance cannot be made on ad-hoc basis-Travelling expenses of partner for personal trip-Not allowable as business expenditure. [S. 145]

Mercedez-Benz India (P.) Ltd. v. DCIT (2022) 193 ITD 624 (Pune)(Trib.)

S. 37(1) : Business expenditure-Capital or revenue-Royalty paid as percentage of sale in consideration of supply of Technical Know-how is allowable as revenue expenditure-Telephone and travelling expenditure-Self made vouchers-Disallowance of 10 % of expenditure is held to be not valid.

NTPC-SAIL Power Co. (P.) Ltd. v. DCIT (2022) 193 ITD 473 (Delhi)(Trib.)

S. 37(1) : Business expenditure-Capital or revenue-Corporate Social Responsibility expense-Explanation 2 to section 37(1) inserted by Finance Act, 2014 with effect from 1-4-2015 is prospective in nature.

DCIT v. Great Eastern Energy Corporation Ltd. (2022) 193 ITD 404 (Delhi)(Trib.)

S. 37(1) : Business expenditure-Annual share listing fees paid to stock exchange-Allowable as revenue expenditure-Community development donation-Allowable as business expenditure.

Peninsula Land Ltd. v. DCIT (2022) 193 ITD 366 (Mum.)(Trib.)

S. 37(1) : Business expenditure-Real estate business-Expenses for certification work, management consultancy, fees for appearance before Tax Authorities and company secretarial work as professional fee-Allowable as deduction.

Meena Circuits (P.) Ltd. v. ACIT (2022) 193 ITD 318 (Ahd.) (Trib.)

S. 37(1) : Business expenditure-Professional fees-Prior period expenditure-Expenses pertaining earlier year-Crystallized during the year-Allowable as deduction-Commission payable-Expenses pertaining to earlier year-Not allowable as deduction. [S. 145]

ACIT v. People Strong HR Services (P.) Ltd. (2022) 193 ITD 105 (Delhi)(Trib.)

S. 37(1) : Business expenditure-ESOP Scheme-Discount on shares allotted by assessee to its employee under ESOP Scheme is revenue expenditure.