Tribunal held that the expenditure which was quite necessary to maintain Assessee’s corporate personality would be an allowable expenditure since without incurring the same, the Assessee could not have remained into existence. Therefore, directed the learned AO to identify such expenditure and allow the same to that extent. (AY. 08-09 to 14-15)
Sir Pratap Heritage Hotels (P) Ltd. v. ACIT (2021) 209 TTJ 1 (UO) (Jodhpur)(Trib.)
S. 37(1) : Business expenditure-The expenditure necessary to maintain Assessee’s corporate personality would be an allowable expenditure even when no business was undertaken.