2016 (5) TMI 1494 - HC - Income Tax

Exemption u/s 11 - Application of income outside the taxable territories - expenses incurred by the Respondent Assessee outside India on account of foreign travel as application of income as per the proviso to Section 11 (l) (c). HELD THAT - The ITAT examined the Articles of Associations of the Respondent Assessee and came to the conclusion that foreign travel expenses incurred by it cannot be termed as application of income outside the taxable territories of the Assessee. The Court does not find any legal infirmity in the view taken by the ITAT. No substantial question of law arises. The appeal is dismissed.

Summary

The High Court of Delhi condoned the delay in filing the appeal. The appeal (ITA 343/2016) questioned the justification of allowing expenses for foreign travel as application of income under the Income Tax Act. The Income Tax Appellate Tribunal's decision was upheld, dismissing the appeal as no substantial question of law arose.