https://www.taxtmi.com/caselaws?id=62736 The Tribunal overturned the CIT's order under section 263, allowing the appeal in favor of the assessee, a partnership firm, regarding the deduction of insurance premiums paid under the Keyman Insurance Scheme. The Tribunal determined that the CIT's disallowance was unjustified, as it contradicted the CBDT circular, which permits such premiums as business expenditure. The Tribunal emphasized the binding nature of CBDT circulars on IT authorities, concluding that the CIT exceeded his jurisdiction by revising the assessment. The decision reinstated the premium's allowance as a legitimate business expense, aligning with relevant amendments to the IT Act and the CBDT's guidance. en-us Fri, 07 Oct 2005 00:00:00 +0530 Wed, 17 Apr 2024 17:27:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=62736 The Tribunal overturned the CIT's order under section 263, allowing the appeal in favor of the assessee, a partnership firm, regarding the deduction of insurance premiums paid under the Keyman Insurance Scheme. The Tribunal determined that the CIT's disallowance was unjustified, as it contradicted the CBDT circular, which permits such premiums as business expenditure. The Tribunal emphasized the binding nature of CBDT circulars on IT authorities, concluding that the CIT exceeded his jurisdiction by revising the assessment. The decision reinstated the premium's allowance as a legitimate business expense, aligning with relevant amendments to the IT Act and the CBDT's guidance. Case-Laws Income Tax Fri, 07 Oct 2005 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=62736