9911796707
TMI Blog2007 (9) TMI 244X X X X Extracts X X X X X X X X Extracts X X X X ..... ated August 30, 1997, passed by this court in MCC No. 679/93 the Income-tax Appellate Tribunal, Indore Bench, Indore (in short "the Tribunal"), has drawn up a statement of facts. Be it noted that while this court called the statement of facts the following question of law was framed: "Whether, on the facts and in the circumstances of the case the learned Tribunal was justified in law in holding t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... owed the balance under the aforesaid rule. The Assessing Officer was of the view that the expenditure in respect of the articles for presentation was of the value of more than Rs. 50. Thus, he made an addition of Rs. 5,31,675 to the income of the assessee. 3. Being aggrieved by the aforesaid order the assessee preferred an appeal before the Commissioner of Income-tax (Appeals) who deleted the imp ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... are in agreement with the learned Commissioner of Income-tax (Appeals) that rule 6B is not applicable with regard to the expenditure disallowed under the marketing assistance as also under the head 'Publicity material'. As regards the expenditure disallowed under trade promotional expenses, we are again in agreement with the learned Commissioner of Income-tax (Appeals) that the expenditure was in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 8. In this context, we may refer with profit to the decision rendered in the case of CIT v. S. P. Textiles Co. [1990 185 ITR 272 (All)) wherein it has been held that if the assessee incurs expenditure in distribution of the articles intended for its purchasers, depending on their performance, the amount spent is neither an amount spent in publicity nor for advertisement and as the said amount is ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is no material brought on record that consumer gifts and free gifts were given. What has been given, as the factual matrix would show, are the briefcases on achieving the target and no presentation was carried out. It was given under a definite scheme for promotion of sales and the items were to be presented by the assessee only on attaining some specific targets. 11. In view of the aforesaid, we ..... X X X X Extracts X X X X X X X X Extracts X X X X
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