Commission paid to Indian resident for booking orders for export...

Commission paid to Indian resident for booking orders for export - deduction of expenditure u/s 37 (1) - From reading of the agreement it is clear that no order can be processed by assessee without services the agent and if that is so, the assessee was bound to pay commission on any sale which was taken place in the territory of an agent (subject to condition 7 supra). In these circumstances, we hold that Clause (4) of the said agreement has wrongly been interpreted by the Tribunal in the facts and circumstances of the case. - HC