https://www.taxtmi.com/caselaws?id=181221 Whether compensation and legal costs paid for damage caused by the assessee's employees in the course of timber hauling are deductible under the Income-tax Act was addressed by applying the principle that only losses incidental to and incurred for the purpose of earning business profits are allowable. The court treated liabilities arising from risks inherent in the timber business (including negligence of servants while engaged in hauling) as part of the cost of operations and held the compensation and costs to be deductible in the relevant year. en-us Thu, 15 Mar 1962 00:00:00 +0530 Mon, 11 Apr 2016 11:17:05 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=181221 Whether compensation and legal costs paid for damage caused by the assessee's employees in the course of timber hauling are deductible under the Income-tax Act was addressed by applying the principle that only losses incidental to and incurred for the purpose of earning business profits are allowable. The court treated liabilities arising from risks inherent in the timber business (including negligence of servants while engaged in hauling) as part of the cost of operations and held the compensation and costs to be deductible in the relevant year. Case-Laws Income Tax Thu, 15 Mar 1962 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=181221