TMI Blog1996 (11) TMI 49X X X X Extracts X X X X X X X X Extracts X X X X ..... instance of this court, the following question was referred by the Income-tax Appellate Tribunal for the opinion of this court : " Whether, on the facts and in the circumstances of the case, the Income-tax Appellate Tribunal was justified in holding that the boarding and lodging expenses met by the employer were granted to meet the expenses wholly, necessarily and exclusively incurred in the pe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ordingly he passed assessment orders bringing to tax the above said amounts. On appeal, the Assistant Commissioner of Income-tax (Appeals) based upon the orders passed by him earlier in respect of the very same assessees for the earlier assessment year held that the amounts paid by the employer directly for the facility of boarding and lodging provided to the assessees should not be treated as inc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... atter with reference to the facts on record and the arguments advanced by learned counsel for the Revenue. None appears for the assessees. "Perquisite" is defined by section 17(2) of the Income-tax Act inclusively, inter alia, as meaning : " (2)(iv) any sum paid by the employer in respect of any obligation which, but for such payment, would have been payable by the assessee. " The case of th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f profit are ordinarily performed by him or at the place where he ordinarily resides shall not be regarded, for the purposes of this clause, as a special allowance granted to meet expenses wholly, necessarily and exclusively incurred in the performance of such duties. " Section 17(2)(iv) refers to the obligation of the assessee which has been met by the employer and but for that obligation, the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... it, undoubtedly, is a benefit "specifically granted to meet the expenses wholly, necessarily and exclusively incurred in the performance of the duties" relatable to the employment of the assessees since, they being foreigners and serving on a ship berthed in one of the Indian ports it became the duty of the employer to provide boarding and lodging facilities to them. The expenditure in question, ..... X X X X Extracts X X X X X X X X Extracts X X X X
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