Home Case Index All Cases Income Tax Income Tax + HC Income Tax - 2002 (12) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2002 (12) TMI 31 - HC - Income TaxContribution to the three welfare trusts - deduction u/s 37 - "Whether, Tribunal was justified in law in holding that the contribution of Rs. 12,03,000 to the three welfare trusts created by the assessee, is an allowable deduction under section 37 of the Income-tax Act, 1961 in computing the total income of the assessee for the assessment year 1978-79?" - There is no material adduced by the Income-tax Officer to establish that either the creation of the trusts was not bona fide or the funds contributed by the assessee were utilised for purposes other than the welfare of the employees - decision of the assessee to establish welfare trusts for the employees in the year in which the firm earned huge profits was a prudent commercial decision to strengthen the bonds between the employer and the employees – thus deduction is allowable
|