Home Case Index All Cases Income Tax Income Tax + HC Income Tax - 2004 (6) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2004 (6) TMI 15 - HC - Income TaxSingle business – various units of the assessee - business expenditure - Assessee in its business wisdom attempted to avoid incurring loss by reducing the workforce of one of the units running at a loss for earning profit from the other units, which the assessee deemed fit for the purpose of carrying on the business. Therefore, the said payment was an allowable deduction - on the basis of the finding arrived at by Tribunal itself about the unity of control and management, the Tribunal could not have denied deducibility of the amount even though it might have been made voluntarily or ex gratia when made for reducing out some of the workforce to get rid of the incurring of loss and for earning profit, and for which under the law retrenchment compensation was payable, and was so paid as a prudent businessman
|