https://www.taxtmi.com/caselaws?id=168926 Bonus paid to employees outside the Payment of Bonus Act can still qualify as a deductible business expense under the second proviso to section 36(1)(ii) of the Income-tax Act, 1961 if the payment is not shown to be excessive or unreasonable. The assessee had paid bonus to higher-income employees in earlier years as well, and similar payments had been allowed previously. On the facts, the authorities found no material to disallow the claim, and the Tribunal upheld deduction accordingly in favour of the assessee. en-us Mon, 12 Oct 1992 00:00:00 +0530 Mon, 06 Apr 2015 15:22:01 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=168926 Bonus paid to employees outside the Payment of Bonus Act can still qualify as a deductible business expense under the second proviso to section 36(1)(ii) of the Income-tax Act, 1961 if the payment is not shown to be excessive or unreasonable. The assessee had paid bonus to higher-income employees in earlier years as well, and similar payments had been allowed previously. On the facts, the authorities found no material to disallow the claim, and the Tribunal upheld deduction accordingly in favour of the assessee. Case-Laws Income Tax Mon, 12 Oct 1992 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=168926