The Tribunal that the provisions of S. 40A (3) does not apply. It was held that if the expenditure had not been debited to the profit and loss account but was reimbursed by another company, there was no claim made by the assessee to deduction of expenditure as none of these expenses had been entered into the profit and loss account, then the provisions of section 40A (3) did not apply thereto. (AY.2006-07, 2007-08)