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2014 (10) TMI 321 - AT - Income TaxTreatment of special bonus expenses u/s 37(1) – Held that:- The payment of special bonus was disallowed by the AO on the ground that the assessee did not produce the full copy of the shareholders agreement which is the basic document for determining the allowability of the payment of special bonus - Despite being asked by the Assessing Officer the assessee did not produce the same on the ground that the same was not available at the time of assessment proceedings - assessee submitted that given an opportunity the assessee will produce the shareholder’s agreement before the AO which could not be produced before the lower authorities since the same was not available at the relevant point of time - the shareholders agreement is the basic document for determining the allowability or otherwise of the expenditure relating to special bonus paid, the matter is to be remitted back to the AO for fresh adjudication – Decided in favour of assessee. Reduction of claim of deduction u/s 10B – Interest as income derived from eligible business – Held that:- Since the assessee has not justified before the AO the reasons for not excluding the other income while working out the exemption u/s.10B and since nothing is coming out of the records as to what has happened finally in the preceding assessment years, therefore, the matter is to be remitted back to the AO for passing a speaking order – Decided in favour of assessee.
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