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]

Held that expenses had arisen and crystallized in year under consideration when bills for same by concerned parties were raised on assessee, even though said expenses pertained to earlier year, assessee would be entitled to claim deduction for same in year under consideration when liability on account of said expenses had arisen and crystallized.  Commission payment no evidence was brought on record hence not allowable as deduction. (AY. 2015-16)