This Digest of case laws is prepared by KSA Legal and AIFTP from judgements reported in BCAJ, CTR, DTR, ITD, ITR, ITR (Trib), Chamber's Journal, SOT, Taxman, TTJ, BCAJ, ACAJ, www.itatonline.org and other journals
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S.37(1): Business expenditure-Remuneration paid to partner-Maintenance of account-Allowable as deduction. [S. 153A]

Rameshchandra Balachand. v. JCIT (OSD) (2025) 211 ITD 24 (Mum) (Trib.)

S.37(1): Business expenditure-Fees for technical services to a foreign company for selection of suitable technical staff for project, review of contractual documents, etc-Allowable as business expenditure.

DCIT v. Gulermak TPL Joint Venture. (2025) 211 ITD 349 (Mum) (Trib.)

S.37(1): Business expenditure-License fee-Commercial exploitation of music albums-Deferred revenue expenditure to be amortized over six-year period and not as prior period expenses-Matter remanded.

Aalap Digital Music (P.) Ltd. v. ACIT (2025) 211 ITD 284 (Delhi) (Trib.)

S.37(1): Business expenditure-Broken period interest, i.e., interest accrued between last coupon date and date of purchase of government securities-Allowable as business expenditure.

Kotak Mahindra Bank Ltd. v. DCIT (2025) 211 ITD 608 (Mum) (Trib.)

S. 37(1) : Business expenditure-Discount on issuance of ESOPs is an allowable business expenditure.

Kotak Mahindra Bank Ltd. v. DCIT (2025) 211 ITD 608 (Mum) (Trib.)

S. 37(1) : Business expenditure-Provision for depreciation on AFS securities-Debited to profit and loss account-Allowable as deduction.

ACIT v. Karad Urban Co. Op. Bank Ltd. (2025) 211 ITD 717 (Pune) (Trib.)

S. 36(1)(viia) :Bad debt-Provision for bad and doubtful debts-Schedule bank-Provisions are made as per direction of RBI-Allowable as deduction.

Kotak Mahindra Bank Ltd. v. DCIT (2025) 211 ITD 608 (Mum) (Trib.)

S. 36(1)(va): Any sum received from employees-Delayed payment of employee’s contribution towards PF and ESIC-Not allowable as deduction. [S. 37(1)]

Diebold Nixdorf India (P.) Ltd. v. CIT (2025) 211 ITD 377 (Mum) (Trib.)

S. 36(1)(iii) :Interest on borrowed capital-Interest on customer advances-Advances received from customers were utilized for business purposes as per MOU-Addition is deleted.

Ujwala Developers (P.) Ltd. v. DCIT (2025) 211 ITD 738 (Hyd) (Trib.)

S. 35 : Expenditure on scientific research-Capital expenditure-Outside India-Not eligible for weighted deduction under section 35(2AB)-Eligible for deduction under section 35(1)(iv) of the Act.[S. 35(1)(iv), 35(2AB)]

Mahle Behr India (P.) Ltd. v. DCIT (2025) 211 ITD 485 (Pune) (Trib.)