https://www.taxtmi.com/caselaws?id=97698 Question whether payments to directors on premature termination were deductible as business expenditure under the statutory business-purpose test; court held payments fell within contractual obligations under the articles or, alternatively, were incurred for commercial expediency to terminate an uneconomic method of carrying on business, and therefore constituted revenue expenditure "wholly and exclusively for the purposes of the business" after the post 1939 widening of the statutory phrase. Precedents on termination payments and agency/service cessation were applied and the payment was held allowable in favour of the assessee. en-us Wed, 17 Feb 1960 00:00:00 +0530 Fri, 07 Aug 2020 17:58:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=97698 Question whether payments to directors on premature termination were deductible as business expenditure under the statutory business-purpose test; court held payments fell within contractual obligations under the articles or, alternatively, were incurred for commercial expediency to terminate an uneconomic method of carrying on business, and therefore constituted revenue expenditure "wholly and exclusively for the purposes of the business" after the post 1939 widening of the statutory phrase. Precedents on termination payments and agency/service cessation were applied and the payment was held allowable in favour of the assessee. Case-Laws Income Tax Wed, 17 Feb 1960 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=97698