{"id":11938,"date":"2020-07-31T06:20:41","date_gmt":"2020-07-31T06:20:41","guid":{"rendered":"http:\/\/itatonline.org\/digest\/medley-pharmaceuticals-ltd-v-ito-mum-trib-www-itatonline-org\/"},"modified":"2021-07-09T13:05:59","modified_gmt":"2021-07-09T07:35:59","slug":"medley-pharmaceuticals-ltd-v-ito-mum-trib-www-itatonline-org","status":"publish","type":"post","link":"https:\/\/itatonline.org\/digest\/medley-pharmaceuticals-ltd-v-ito-mum-trib-www-itatonline-org\/","title":{"rendered":"Medley Pharmaceuticals Ltd v ITO. (2020)  118 taxmann.com 44(Mum) (Trib) www.itatonline.org"},"content":{"rendered":"<p><strong>Allowing the appeal of the assessee the Tribunal held that t he disallowance under the Explanation to 37(1) of &#8220;freebies&#8221; to doctors by relying on CBDT Circular No. 5 dated 01.08.2012 &amp; the IMC (Professional Conduct, Etiquettes &amp; Ethics) Regulation, 2002 is not justified. The code of conduct prescribed by the Medical Council is applicable only to medical practitioners\/ doctors registered with the MCI and does not apply to pharmaceutical companies &amp; the healthcare sector in any manner. The CBDT has no power to extend the scope of the MCI regulation to pharmaceutical companies without any enabling provision either under the Income tax Act or the Indian Medical Regulations. As the appeal was quashed on reassessment , the Tribunal held that observation as regards the merit of the case is held \u00a0to be academic in nature . Referred <\/strong><strong>\u00a0\u00a0<\/strong>MAX Hospital., Pitampura v. Medical Council of India [CWP No. 1334\/2013, dated 10.01.2014 ( Delhi) (HC) , Aristo Pharmaceuticals Pvt. ltd. v. ACIT (ITA No. 6680\/Mum\/2012, dt. 26.07.2018), ( ITA No. 2344 \/ Mum \/2018 \/ \/ 1212 \/Mum\/2019 \u00a0\u00a0dt 22-07 -2020 ) (AY. 2012-13 )<\/p>\n<p><strong>\u00a0<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>S. 37(1) : Business expenditure \u2013&#8221;freebies&#8221; to doctors &#8211;  sales promotion expenses -The code of conduct prescribed by the Medical Council is applicable only to medical practitioners\/ doctors registered with the MCI and does not apply to pharmaceutical companies &amp; the healthcare sector in any manner-Expenditure is held to be allowable -Re assessment with in four years \u2013 Change of opinion \u2013 Held to be not valid [ S 371(1) , Explanation, .147 , 148 ] <\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[1],"tags":[],"class_list":["post-11938","post","type-post","status-publish","format-standard","hentry","category-digest"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-36y","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/11938","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=11938"}],"version-history":[{"count":3,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/11938\/revisions"}],"predecessor-version":[{"id":20111,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/11938\/revisions\/20111"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=11938"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=11938"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=11938"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}