TMI Blog1998 (3) TMI 104X X X X Extracts X X X X X X X X Extracts X X X X ..... out of the assessment year 1974-75, made at the instance of the Revenue, and seeking the opinion of the High Court on the following question of law : "Whether, on the facts and in the circumstances of the case, the Tribunal is correct in holding that the assessee is entitled to the weighted deduction on the following expenditure-commission Rs. 10,390, foreign telephones Rs. 2,302, salaries 75 p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... paid for export business in India, the same was held to be allowable on account of having been incurred "wholly and exclusively" for export business. It was held allowable under sub-clause (i) of clause (b) of sub-section (1) of section 35B because the learned Appellate Assistant Commissioner was of the opinion that it was only in the case of sub-clause (iii) that the expenditure should have been ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s on the assessee to prove his entitlement to the weighted deduction allowable under section 35B. In our opinion the amount of commission paid in India, though on export sales would not qualify for weighted deduction under sub-clause (i) or (ii) or (iii). Sub-clause (i) deals with development or publicity outside India which was not the activity undertaken by the parties obtaining the commission ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of section 35B(1). The expenditure, therefore, was not allowable under section 35B. Salaries, rent, printing and stationery The Tribunal has allowed 75 per cent. of the salaries, 50 per cent. of rent, and 50 per cent. of printing and stationery expenses as entitled to weighted deduction. The very fact that these expenses have not been allowed in their entirety goes to show that the expenses we ..... X X X X Extracts X X X X X X X X Extracts X X X X
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