https://www.taxtmi.com/caselaws?id=210062 The Tribunal ruled in favor of the assessee, allowing deductions for royalty payments made to overseas companies as legitimate business expenditures. The payments were deemed reasonable and essential for the assessee's operations, not excessive or unreasonable. The Tribunal dismissed the appeals, affirming that the payments were justified based on technical know-how agreements and benefits received. The provisions of Section 40A(2) and Section 92 of the Income Tax Act were found to be inapplicable, and the payments were allowed as deductions under Section 37 of the Act. en-us Wed, 11 May 2011 00:00:00 +0530 Mon, 12 Jun 2023 10:30:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=210062 The Tribunal ruled in favor of the assessee, allowing deductions for royalty payments made to overseas companies as legitimate business expenditures. The payments were deemed reasonable and essential for the assessee's operations, not excessive or unreasonable. The Tribunal dismissed the appeals, affirming that the payments were justified based on technical know-how agreements and benefits received. The provisions of Section 40A(2) and Section 92 of the Income Tax Act were found to be inapplicable, and the payments were allowed as deductions under Section 37 of the Act. Case-Laws Income Tax Wed, 11 May 2011 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=210062