S. 37(1) : Business expenditure-Telephone expenses-Club membership fee-Allowable as business expenditure-Entertainment Expenses-Expenses incurred on cigarettes and wines not allowable.
S. 37(1) : Business expenditure-Telephone expenses-Club membership fee-Allowable as business expenditure-Entertainment Expenses-Expenses incurred on cigarettes and wines not allowable.
S. 37(1) : Business expenditure-Fabrication charges-Books of account not rejected-Disallowance of fabrication charges is not justified. [S. 145]
S. 37(1) : Business expenditure-Educational sponsorship of son of Director-Recipient of sponsorship undertaking to serve company after completion of studies and later joining service of assessee-Entitle to deduction.
S. 37(1) : Business expenditure-Capital or revenue-Pre-operative interest expenses-Pending for allocation-Not debited in profit and loss account-Disallowance is not valid.
S. 37(1) : Business expenditure-Expenses incurred for the business cannot be disallowed by the AO on the question of commercial expediency.
S. 37(1) : Business expenditure-Supervisory fees-The AO cannot sit in the armchair of businessman and decide whether particular expenditure is required to be incurred for the business or not-Deduction is allowable in the year of payment of tax deduction at source. [S.40(a)(i)]
S. 36(1)(iii) : Interest on borrowed capital-Investments in acquisition of shares in companies to have controlling stake-Investment for purpose of business-No disallowance of interest expenses. [S. 14A]
S. 36(1)(iii) : Interest on borrowed capital-Capital work-in-progress-Interest required to be capitalised-Matter remanded.
S. 36(1)(iii) : Interest on borrowed capital-Interest free loans to wholly-owned subsidiary-Commercial expediency-Interest on borrowed capital allowable as deduction.
S. 32 : Depreciation-Ownership of asset-Car loan-Vehicle registered in name of director-Vehicle used in business-Entitle to depreciation and interest paid on car loan. [S. 37(1), Motor Vehicles Act, 1988]