2024 (1) TMI 169 - SCH - Income Tax

Corporate Social Responsibility (CSR) expenditure u/s 37 - allowable revenue expenditure or not? - as decided by HC 2022 (12) TMI 759 - DELHI HIGH COURT Explanation 2 inserted in Section 37(1) was prospective in nature and therefore was not applicable in the assessment years in issue - as per revenue as Tribunal had erred in law in sustaining the deduction claimed by the respondents/assessees under Section 37(1) of the Act is an argument which cannot be accepted. HELD THAT - No case for interference in exercise of our jurisdiction under Article 136 of the Constitution of India is made out in the peculiar facts of the case. The Special Leave Petition is accordingly dismissed. However the question of law is kept open.

Summary

The Supreme Court dismissed the Special Leave Petition as no case for interference was found under Article 136 of the Constitution of India. The question of law is kept open, and the pending application is disposed of.