2001 (9) TMI 31 - HC - Income Tax

Summary

The High Court of Madras ruled that a payment of Rs. 25,000 made by the assessee to a purchaser of a property, eight years after the sale, was not allowable as a business expenditure. The court found no evidence of encumbrances or defects in the property title that justified the payment. The decision was in favor of the Revenue and against the assessee. The court also addressed other questions related to weighted deduction and gratuity provision.