2008 (4) TMI 273 - DELHI HIGH COURT

Technical collaboration agreement for manufacture – there was no sale of technical know-how but there was transfer of only a right to use the technical know-how – hence payment made by assessee should be treated as revenue expenditure – further, gifts given by dealers (of assessee) to customers are not in nature of advertisement, hence would not fall within the financial limits as laid down u/r 6B – “GOOD WORK REWARD” doesn’t amount to bonus, hence deductible u/s 37(1) not u/s 36(1)(ii)