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2014 (1) TMI 700 - AT - Income TaxClaim of 'office and administrative expenditure' as business expenditure – Held that:- The parameters of section 37(1), as any deduction could only be in accordance with the provisions of law, would need to be positively met - The maintenance of corporate existence cannot by itself be a business purpose, though the cost of its maintenance becomes an essential part of the business where business activity is being carried out, and which in a broad manner as including exploring an opportunity for the same - the assessee would be required to exhibit the necessary wherewithal for carrying the business, not only in terms of office space, but also by way of capital, financial and human, (even if by way of the same being available on tap) as we presume it to be engaged only in seeking a business opportunity to exploit its business potential - the same would be required to be established as a fact, and cannot be adopted as a ruse - The matter remitted back to the AO for fresh adjudication – Decided partly in favour of Assessee.
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