https://www.taxtmi.com/caselaws?id=3172 The Gujarat High Court ruled that sales commission paid by a limited company should not be treated as sales promotion expenses under Section-37(3A) of the Income Tax Act. The Court held that sales commission is distinct from sales promotion expenses and upheld the decision to reverse the disallowance made by the Assessing Officer. The judgment clarified that sales commission is a common trade practice and does not align with the definition of sales promotion under the Act. The Court referenced a previous ruling by the Calcutta High Court to support this interpretation. The appeal was dismissed with no costs awarded. en-us Mon, 21 Aug 2006 00:00:00 +0530 Wed, 30 Jul 2008 09:30:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=3172 The Gujarat High Court ruled that sales commission paid by a limited company should not be treated as sales promotion expenses under Section-37(3A) of the Income Tax Act. The Court held that sales commission is distinct from sales promotion expenses and upheld the decision to reverse the disallowance made by the Assessing Officer. The judgment clarified that sales commission is a common trade practice and does not align with the definition of sales promotion under the Act. The Court referenced a previous ruling by the Calcutta High Court to support this interpretation. The appeal was dismissed with no costs awarded. Case-Laws Income Tax Mon, 21 Aug 2006 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=3172