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2013 (8) TMI 938 - AT - Income TaxAddition u/s 43B - non payment of PPF contribution - Held that:- It is evident that the assessee had not paid the employee’s contribution within the due date under the PF Act or other relevant Acts. In this case, the issue was involving payment made u/s 43B of the Act on assessee’s contribution, not contribution of the employee. Thus, we uphold the order of the learned CIT(A). Accordingly, assessee’s ground No.1 stands dismissed. Disallownce on account of authorized share capital - Held that:- The payment made to ROC for increase of authorized share capital is a capital expenditure. It was incurred by the assessee company to expand the capital base of the company. The character of the expenses is capital expenses. The case laws cited by the assessee are not applicable as the expenses directly related to bonus share as held by the Hon’ble Apex Court as revenue expenditure. However, the nature of payment i.e. payment to ROC for increase of share capital is capital expenditure. Section 35D of the Act is also not applicable in the case of the assessee as it pertained to expenditure incurred before commencing of the business, it does not cover the ROC fees. Thus, we uphold the order of the learned CIT(A). Resultantly, this ground of appeal of the assessee is dismissed. Disallowance of business development expenses - Held that:- As education expenses of a son of the director was incurred for personal gain and not for the business purpose. Keeping in view of the factual position as well as legal position on this issue, we uphold the order of the learned CIT(A) and dismiss this ground of appeal of the assessee.
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