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TMI Blog2002 (9) TMI 40X X X X Extracts X X X X X X X X Extracts X X X X ..... follows: "Whether, on the facts and in the circumstances of the case: (i) the expenditure incurred on the foreign travel of the wives of the directors is an allowable deduction ? (ii) should not the Tribunal have considered the claim independently and on merits ?" The assessee claimed allowance of foreign travel expenses of the wives and directors. On scrutiny of the accounts the officer foun ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... that the allowance was not correct. In paragraph 12 of the order of the Tribunal, it is stated thus: "We have heard the parties to the dispute. The Commissioner of Income-tax (Appeals) while allowing the impugned relief has, in fact, relied on the decision of the Special Bench of the Tribunal in the case of Glaxo Laboratories (India) Ltd. v. ITO (Second) [1986] 18 ITD 226 and further the decision ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ITR 437 (Guj) (Appex.), the Gujarat High Court held as follows : "In our opinion, the need of the managing director of the assessee-company to have the services of his wife who was not a qualified or a trained nurse either to attend on him for his indifferent health or to prepare food for him since he happened to be a strict vegetarian would not entitle the assessee-company to claim the proportio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pany was an allowable deduction". After hearing both sides, we are satisfied that the Tribunal has not given reasons with regard to the travelling expenses of the wives of the directors. Mere statement that the travelling expenses incurred by the wives of the directors were considered to be admissible expenses does not mean that this is not personal expenditure. The assessee has to prove that it ..... X X X X Extracts X X X X X X X X Extracts X X X X
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