2002 (10) TMI 10 - HC - Income Tax

Whether Tribunal was right in considering the commission paid to the managing director as the perquisite for the purpose of section 40(c)? - Whether legal and professional expenses in respect of amalgamation of the sister concern with the assessee-company is allowable revenue expenditure? - Whether Tribunal has not erred in law in holding that a sum of Rs. 20, 000 out of motor car expenses is not disallowable as personal and non-business use of motor car in the hands of the assessee? - Whether Tribunal is right in law in holding that the assessee is entitled to the depreciation as claimed and 1/7th portion of the depreciation of motor car is not disallowable? All the questions are answered in favour of assessee

Summary

The High Court of Gujarat delivered a judgment on questions related to income tax. The court answered questions regarding commission paid to the managing director and legal expenses for amalgamation. The court ruled in favor of the Revenue on the commission issue and in favor of the assessee on the legal expenses matter. The court also addressed questions raised by the Revenue regarding motor car expenses and depreciation, ruling in favor of the assessee. The reference was disposed of with no order as to costs.