Held that the service rendered is not doubted and the salary was paid as per the present market rate. Disallowance is deleted. (AY. 2015-16)
M.S. Hostel v. Dy.CIT (2024) 230 TTJ 575 / 38 NYPTTJ 392/ 167 taxmann.com 735 (Ahd) (Trib)
S. 40A(2): Expenses or payments not deductible-Excessive or unreasonable-Relative of partner-Service rendered is not doubted-No disallowance cannot be made.[S. 37(1)]