2011 (9) TMI 169 - HC - Income Tax

Business expenditure or personal expenditure - medical expenditure incurred in USA on Cancer Treatment of Late Yash Johar, the proprietor of the business - The Income Tax Appellate Tribunal following the judgment of this Court in the case of Mehboob Productions Private Limited V/s. Commissioner of Income Tax 1974 -TMI - 39159 - BOMBAY High Court , allowed the claim of the assessee that the expenditure incurred on the treatment of the assessee is allowable under Section 37(1) of the Income Tax Act - Decided in favour of assessee.

Summary

The Bombay High Court dismissed the appeal regarding the medical expenditure incurred in the USA on cancer treatment of a business proprietor, holding that it is a business expenditure under Section 37(1) of the Income Tax Act. The court relied on a previous judgment and the professional activities of the assessee to allow the claim. The appeal was dismissed with no order as to costs.