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2019 (4) TMI 560 - ITAT BANGALOREAddition u/s 36 (1) (ii) - Bonus paid to a Shareholder - HELD THAT:- Section 10 (2) (x) of 1922 Act required that the payment of bonus commissions should be reasonable but there is no such requirement in Section 36 (1) (ii) of 1961 Act and hence, judgments noted by the AO are not applicable. Therefore, we decide the issue in favour of the assessee because this is not the case of the revenue that the amount in dispute paid by the assessee to its director as bonus was otherwise payable to the director as dividend and therefore, the provisions of section 36 (1) (ii) are not helping the revenue in the facts of the present case. See ASSISTANT COMMISSIONER OF INCOME-TAX, CIRCLE-1 (1) , MANGALORE VERSUS MANDOVI MOTORS PVT. LTD. [2010 (11) TMI 960 - ITAT BANGALORE] - Decided against revenue
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