https://www.taxtmi.com/caselaws?id=62972 Expenditure on directors' personal use of company cars was treated as non-business expenditure and the related car expenses and depreciation were held inadmissible because the company had not specifically granted car use as a perquisite. In contrast, staff welfare on tea, soft drinks and similar supplies to employees was allowed, as no entertainment element was shown and no basis existed for disallowance. The note therefore draws a distinction between personal use by directors, which cannot be claimed as business expenditure absent an express perquisite grant, and genuine staff welfare expenses, which remain deductible when not in the nature of entertainment. en-us Thu, 22 Oct 1981 00:00:00 +0530 Tue, 25 Jan 2011 19:30:33 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=62972 Expenditure on directors' personal use of company cars was treated as non-business expenditure and the related car expenses and depreciation were held inadmissible because the company had not specifically granted car use as a perquisite. In contrast, staff welfare on tea, soft drinks and similar supplies to employees was allowed, as no entertainment element was shown and no basis existed for disallowance. The note therefore draws a distinction between personal use by directors, which cannot be claimed as business expenditure absent an express perquisite grant, and genuine staff welfare expenses, which remain deductible when not in the nature of entertainment. Case-Laws Income Tax Thu, 22 Oct 1981 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=62972