Disallowance of commission paid - excessive expense on ...

Case Laws Income Tax

April 15, 2022

Disallowance of commission paid - excessive expense on commission - the average rate of commission paid by the assessee to others in respect of rice was 20, but rate of commission paid to the employee, holding 17.05% shares in the company, was at 215 and the difference of rate of commission is at 195%. The said deference is not only excessive and the same is unrealistic in the market. The AO has rightly made the comparison of the average rate of commission paid by the assessee himself in the case of non related parties to come to the said conclusion. - AT

View Source

← Previous Next →

Disallowance of commission paid - excessive expense on ...

Case Laws Income Tax

April 15, 2022

You may also like:

Disallowance being commission paid to Directors - expenses were incurred in accordance with the provisions of Companies Act. - The commission expenses were paid by...

Disallowance u/s 40A(2)(b) - excessive or unreasonable payments made to specified persons - AO has not done any exercise to determine as to whether the amount paid by...

CIT(A) restricted addition on account of accommodation entries to 15% instead of 100%, as the Assessing Officer failed to establish that work was not actually performed....

Disallowance of commission paid to foreign agents - The Tribunal upheld the disallowance of commission expenses to both domestic and non-resident companies due to the...

Disallowance of operating expenses @ 10% - expenses being of unverified, unreasonable and excessive - without pointing out any defects in the bills and vouchers of...

Disallowance of excessive and unreasonable remuneration/salary paid to the directors - no comparable case was cited where salary for similar work having similar...

Disallowance of commission expenses - income from providing accommodation entries - Weightage rate of commission - the objections of the assessee that commission...

Disallowance of expenses and commission paid as excessive - Assessing Officer held that the assessee could not substantiate the discrepancies but did not mention...

Disallowance of export commission paid by the assessee - allowable business expenses or not? - Despite the substantial increase in commission compared to the preceding...

This circular clarifies the scope of regularization on an "as is" or "as is, where is" basis mentioned in previous GST circulars issued based on GST Council...

Commission paid to directors - Directors paying tax at the maximum rate on income including commission which is higher than DDT - no infringement of any law - neither...

Disallowance of sales commission paid to two Associated Enterprises (AEs) being foreign entities - assessee failed to discharge the onus of proving legitimate business...

Increase in cost of materials consumed due to higher exchange rate for purchases compared to previous year. Adequate explanation provided by assessee regarding increase...

Disallowance of Expenses u/s. 40(a)(ia) - Non deduction of TDS on commission - Pricing mechanism fixed by the Government of India, it is clear that the assessee has...

Disallowance of Commission - Paid to firm in which director has substantial interest - the firm has earned the commission only from the assessee & not from any other...

Quick Updates: