The assessing officer disallowed payments of Rs. 57,55,630 made by assessee to the doctor for running the medical shop on the ground that it was in contravention of Code of Medical Ethics Regulation 2002 by attracting Explanation to section 37(1). The stand of the assessee was that payments based on percentage of sales were made for use and occupation of premises of medical shop and therefore it is legal. The CIT(A) restricted the disallowance to Rs. 17,55,630. The Honourable Tribunal deleted the addition sustained by CIT(A) by noticing that similar payments made in preceding A.Y. 2012-13 was allowed by assessing officer under scrutiny assessment by relying on ratio of decision of Supreme Court in case of Radhasoami Satsang v, CIT (193 ITR 321).