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2013 (12) TMI 1164 - HC - Income TaxWhether wages paid to casual labour is not a business expense u/s 37 - Held that:- The books of accounts of the assessee company, bills and vouchers are audited under section 44 AB of the Companies Act but no audit account showing expenditure incurred for engaging casual labours or labours is produced - There is nothing on record to show payment of employees provident fund or the employees state Insurance Contribution with regard to these employees - This amount was not properly explained by documentary supporting evidence. The question of granting exemption from addition of this expenditure under section 37 will arise only if the expenditure is shown to have been incurred or proved on account of payment for casual labour etc - The expenditure is not proved to have been incurred and therefore, it is disallowed - Such position without proof of expenditure being established, the benefit of section 37 cannot be granted - Decided against assessee.
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