TMI Blog2014 (5) TMI 1177X X X X Extracts X X X X X X X X Extracts X X X X ..... heir Lordships held that Section 40A(2)(b) is not applicable in respect of trade discount. Section 40A(2)(b) is not applicable in respect of trade discount. - Decided against revenue - ITA No.2628/Del/2012 - - - Dated:- 23-5-2014 - Shri G.D.Agrawal And Shri Aby T. Varkey, JJ. Appellant by : Shri G.H. Sema, Sr.DR. Respondent by : Shri Ashwani Taneja, Advocate. ORDER G.D.Ag ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... llowed the same. Hence, this appeal by the Revenue. 4. We find that this issue is squarely covered in favour of the assessee by the decision of Hon'ble Jurisdictional High Court in the case of United Exports Vs. CIT [2011] 330 ITR 549 wherein their Lordships held that Section 40A(2)(b) is not applicable in respect of trade discount. The relevant observations of their Lordships at paragrap ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lowed as a deduction. This provision in the Act pertains to disallowance to an expenditure which is made by the assessee i.e., an amount actually spent by the assessee as an expenditure. The expression used in this provision is incurs any expenditure in respect of which payment has been or is to be made to any person [Emphasis supplied]. The emphasized words clearly show that actual payment ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
