9911796707
TMI Blog1996 (12) TMI 91X X X X Extracts X X X X X X X X Extracts X X X X ..... expenses. This is the case of a company. In the asst. yr. 1984-85. The AO made a disallowance of Rs. 9,910 being 20 per cent of the car expenses as in the past. 20 per cent of the depreciation was also disallowed at Rs. 990. Similarly, in the asst. yr. 1985-86 the AO made a disallowance of car expenses at Rs. 8,333 being 20 per cent of the car expenses of Rs. 41,669 being attributable to the perso ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... support, he has cited the Tribunal decision in the case of Pritam Hotel Pvt. Ltd. vs. ITO (1983) 17 TTJ (Bom) 550 wherein for similar reasons the Tribunal held the view that although any expenditure relating to personal use may constitute perquisite in the hands of directors it will be an allowable expenditure as far as the company is concerned. The Tribunal placed reliance on its earlier decisio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ival submissions. It is evident from the facts given that this is the case of a company and the company owned a car for use of its directors for business purposes. We do not have before us the orders of the earlier year wherein part of the car expenses were disallowed by the Revenue and in the absence thereof we are not in a position to appreciate as to how far the car was earlier used by the dire ..... X X X X Extracts X X X X X X X X Extracts X X X X
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