https://www.taxtmi.com/caselaws?id=63420 The Tribunal found that the reimbursement of advertising and sampling expenses by the assessee to its sister concerns was genuine and necessary for business purposes, not a tax avoidance device. Despite initial disallowance by the Assessing Officer and Commissioner of Income-tax (Appeals), the Tribunal allowed the appeal, deeming the entire expenditure legitimate. The Tribunal emphasized that the arrangement was a rational business decision, not a colourable device, and concluded that the expenses were incurred wholly and exclusively for the assessee's business. The disallowance of Rs. 21,53,788 was deleted, and the appeal was allowed. en-us Mon, 04 Jun 1990 00:00:00 +0530 Sat, 29 Jan 2011 18:28:03 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=63420 The Tribunal found that the reimbursement of advertising and sampling expenses by the assessee to its sister concerns was genuine and necessary for business purposes, not a tax avoidance device. Despite initial disallowance by the Assessing Officer and Commissioner of Income-tax (Appeals), the Tribunal allowed the appeal, deeming the entire expenditure legitimate. The Tribunal emphasized that the arrangement was a rational business decision, not a colourable device, and concluded that the expenses were incurred wholly and exclusively for the assessee's business. The disallowance of Rs. 21,53,788 was deleted, and the appeal was allowed. Case-Laws Income Tax Mon, 04 Jun 1990 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=63420