https://www.taxtmi.com/caselaws?id=215238 A sanctioned rehabilitation scheme under the Sick Industrial Companies (Special Provisions) Act was treated as binding on tax authorities where its reliefs were framed as mandatory directions, and the absence of the Income Tax Department as a party did not defeat its effect. On recurring expenditure claims, the Tribunal's earlier-year approach was followed: ad hoc disallowances of commission, vehicle maintenance, telephone and miscellaneous expenses were deleted where no specific adverse material was shown, while aircraft-related disallowance was sustained on the assessee's own past precedent. The interest disallowance on alleged diversion of borrowed funds was remitted for fresh verification. The dividend-related expenditure estimate was upheld as a limited reasonable disallowance. en-us Wed, 27 Jun 2012 00:00:00 +0530 Fri, 27 Jul 2012 17:32:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=215238 A sanctioned rehabilitation scheme under the Sick Industrial Companies (Special Provisions) Act was treated as binding on tax authorities where its reliefs were framed as mandatory directions, and the absence of the Income Tax Department as a party did not defeat its effect. On recurring expenditure claims, the Tribunal's earlier-year approach was followed: ad hoc disallowances of commission, vehicle maintenance, telephone and miscellaneous expenses were deleted where no specific adverse material was shown, while aircraft-related disallowance was sustained on the assessee's own past precedent. The interest disallowance on alleged diversion of borrowed funds was remitted for fresh verification. The dividend-related expenditure estimate was upheld as a limited reasonable disallowance. Case-Laws Income Tax Wed, 27 Jun 2012 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=215238