2010 (12) TMI 57 - HC - Income Tax

Production incentive bonus - paid by the assessee to to its employee - Held that - production incentive bonus given by the assessee over and above payable to employee is deductable under section 37 of the Income Tax act, 1961 - appeal has not merit. It is accordingly dismissed

Summary

The High Court of Allahabad dismissed an appeal against the Income Tax Appellate Tribunal's order, upholding the deduction of production incentive bonus paid by the assessee to its employees for the assessment year 1987-88. The court cited a previous case where it was held that such bonuses are deductible under section 37 of the Income Tax Act, 1961.