https://www.taxtmi.com/caselaws?id=268058 The Tribunal upheld the CIT(A)'s decision, allowing the Employee Stock Option (ESOP) expenses claimed by the assessee company as revenue expenditure under Section 37 of the Income Tax Act. The Tribunal emphasized that ESOP expenses are deductible as employee costs during the vesting period, subject to adjustments for unvested or lapsed options. The matter was remitted back to the Assessing Officer for verification of the discount calculation and compliance with natural justice principles, applying the guidelines from the Special Bench decision in Biocon Ltd. v. DCIT. The appeals of both the Revenue and the assessee company were partly allowed for statistical purposes. en-us Wed, 21 Oct 2015 00:00:00 +0530 Thu, 19 Nov 2015 06:39:45 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=268058 The Tribunal upheld the CIT(A)'s decision, allowing the Employee Stock Option (ESOP) expenses claimed by the assessee company as revenue expenditure under Section 37 of the Income Tax Act. The Tribunal emphasized that ESOP expenses are deductible as employee costs during the vesting period, subject to adjustments for unvested or lapsed options. The matter was remitted back to the Assessing Officer for verification of the discount calculation and compliance with natural justice principles, applying the guidelines from the Special Bench decision in Biocon Ltd. v. DCIT. The appeals of both the Revenue and the assessee company were partly allowed for statistical purposes. Case-Laws Income Tax Wed, 21 Oct 2015 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=268058