S. 40(a)(ia) : Payment For Pest Control after deduction of tax at source-No disallowance can be made-Building maintenance-Matter remanded. [S. 194C]

S. 37(1) : Business expenditure-Agent of Life Insurance Corporation-Expenses related to salary, staff welfare and bonus-Disallowance on guess work is held to be not valid.

S. 37(1) : Business expenditure-Construction of new roads-Capital expenditure-Share premium-Interest on borrowed capital-Matter remanded. [S. 36(1)(iii), 68]

S. 37(1) : Business expenditure-Increased liability on account of wage revision due to Court order-Entries in books of account not determinative-Right to claim legitimate deduction-Allowable as deduction. [S. 139(5), 145]

S. 37(1) : Business expenditure-Increased liability on account of wage revision due to Court order-Entries in books of account not determinative-Right to claim legitimate deduction-Allowable as deduction. [S. 139(5), 145]

S. 37(1) : Business expenditure-Commission to increase sales-Free Lance Individuals-Allowable as business expenditure.

S. 36(1)(vii) : Bad debt-Finance business-Interest income assessed as business income-Merely because parties related, Loss written off could not be disallowed. [S. 36(2)]

S. 36(1)(iii) : Interest on borrowed capital-Strategic investments Joint venture company group and subsidiary companies-Disallowance of interest is not justified.

S. 36(1)(iii) : Interest on borrowed capital-Own capital and reserves more than capital advanced-Disallowance of interest is not justified.

S. 32 : Depreciation-Lease rental-Eligible for depreciation subject to verification whether sum capitalised-Tourist Resort-Occupancy seasonal-Could not be construed to have used asset for less than 180 days-Depreciation allowable for entire year.