"Own Your Own Telephone Scheme".

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..... allowed as revenue expenditure under section 37(1) of the Income-tax Act 1961 while computing the income under the head "profit and gains from business or profession". 2. Payment under OYT Scheme is in the nature of advance payment of rent of telephone connection and not in the nature of deposit. In view thereof. subscribers are entitled to deduct such amount as expenditure wholly and exclusive .....

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..... Considering practical difficulties in this regard, the Board have decided that the entire amount of payment should be allowed in the year of payment irrespective of the fact whether the telephone has been installed or not. In case the telephone is not installed at all and the money is refunded back to the assessee, it may be brought to tax in the year of receipt by invoking the provisions of sect .....

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