https://www.taxtmi.com/caselaws?id=62161 The appeal against the disallowance of the deduction for chitty loss in the assessment year 1977-78 was dismissed. The Tribunal confirmed the AAC's decision that the excess payment made by the assessee for chitty subscriptions was a business expenditure necessary to acquire the right to conduct business. Despite the Revenue's argument of no direct nexus between the chitty loss and the business, the Tribunal found that the chitty money was utilized for business purposes, including the interest-free deposit with the landlord, and thus allowed it as a deduction under section 37 of the IT Act. en-us Thu, 08 Jan 1981 00:00:00 +0530 Tue, 18 Jan 2011 13:32:02 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=62161 The appeal against the disallowance of the deduction for chitty loss in the assessment year 1977-78 was dismissed. The Tribunal confirmed the AAC's decision that the excess payment made by the assessee for chitty subscriptions was a business expenditure necessary to acquire the right to conduct business. Despite the Revenue's argument of no direct nexus between the chitty loss and the business, the Tribunal found that the chitty money was utilized for business purposes, including the interest-free deposit with the landlord, and thus allowed it as a deduction under section 37 of the IT Act. Case-Laws Income Tax Thu, 08 Jan 1981 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=62161