https://www.taxtmi.com/caselaws?id=69295 The court upheld the Commissioner (Appeals)' decision to overturn the disallowance of excess bonus paid to a manager of a private limited company. The judgment emphasized the importance of past payment patterns and business practices in justifying the bonus amount. It clarified the interpretation of Section 36(1)(ii) regarding bonus payments and highlighted the application of the Payment of Bonus Act, 1965 to discretionary bonus payments. The court stressed the need for commercial expediency in determining bonus payments and affirmed that additional payments beyond fixed salary can be justified as proper remuneration for services rendered. en-us Fri, 16 Nov 1979 00:00:00 +0530 Wed, 06 Apr 2011 11:20:08 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=69295 The court upheld the Commissioner (Appeals)' decision to overturn the disallowance of excess bonus paid to a manager of a private limited company. The judgment emphasized the importance of past payment patterns and business practices in justifying the bonus amount. It clarified the interpretation of Section 36(1)(ii) regarding bonus payments and highlighted the application of the Payment of Bonus Act, 1965 to discretionary bonus payments. The court stressed the need for commercial expediency in determining bonus payments and affirmed that additional payments beyond fixed salary can be justified as proper remuneration for services rendered. Case-Laws Income Tax Fri, 16 Nov 1979 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=69295