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TMI Blog1992 (4) TMI 61X X X X Extracts X X X X X X X X Extracts X X X X ..... (Appeals) erred in directing the IAC not to include Rs. 10,495 being hotel expenses while computing the disallowance under section 37(3A). The relevant part of the IAC's order is as follows : " (iii) Hotel expenses in Franchise Seminar, Managing Training Seminar and Diners Club expenses are considered under the head hotel bills. Expenses which are disallowed under Rule 6D of Rs. 7,739 and lunch ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... In reply, the learned counsel for the assessee advanced the same arguments as those before the Commissioner. He also argued that the specific word 'hotel' has been used and so the disallowance has to be confined to the application of that word alone. He referred to the dictionary meaning of that word and submitted that the meaning of the word 'hotel' in general parlance could not be applied here. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... el' has been used in the section in order to cover those cases where both residential and eating facilities are provided. If the word 'restaurant' had been used in the section the argument could have been raised that the expenditure was incurred in a hotel (which included a restaurant) and so the disallowance could not be made. Where a restaurant would be part of the hotel the payment would be mad ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nt. If a distinction is drawn between these two there should be some purpose in it and, in our view, there would be no purpose in the Legislature drawing such a distinction. It could not have intended that if expenditure is incurred in a hotel it would be disallowed but if it was incurred in a restaurant it would be allowed. We asked this question to the learned counsel for the assessee but he was ..... X X X X Extracts X X X X X X X X Extracts X X X X
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