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2020 (10) TMI 92 - HC - Income TaxFringe benefit tax on expenditure incurred towards visa charges and others u/s 115WB(2)(F) & 115WB(2)(q) - Whether the expenses incurred towards visa charges and others are not liable for fringe benefit tax as the same was legitimate business expenditure? - HELD THAT:- Assessee has incurred expenditure on visa charges. The aforesaid expenditure does not render any benefit to the employees in the guise of foreign travel or tour. The visa’s and other related expenditure had been incurred by the employer to send its employees to the work place abroad for the purposes of business for scientific tenures and not to move around the country for sight seeing. Expenditure under the head ‘tours and travels’ is normally recurring in nature but, in the instant case, the employees of the assessee had not under taken frequent tours and travels. The expenses have been incurred for visa charges to make the employees eligible to undertake an entry to foreign country and stay at the work place in that country. Expenditure has been incurred for business necessity and not for providing any domestic benefit or amenity to the employee. The payment for visa and other charges are statutory obligations and fringe benefit tax cannot be levied - Aforesaid charges have not been paid as consideration for payment and therefore, the same cannot be subjected to levy of fringe benefit tax. The concurrent findings of facts have been recorded by the CIT (Appeals) and Tribunal on the basis of meticulous appreciation of evidence on record, the aforesaid findings cannot be said to be perverse. - Decided in favour of assessee.
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