https://www.taxtmi.com/caselaws?id=5118 Commission paid to a general manager may qualify as business expenditure if it is genuine and incurred wholly and exclusively for business purposes under section 10(2)(xv) of the Income-tax Act, 1922. The test depends on the facts and circumstances, but commercial expediency must be judged from the businessman's standpoint, not by substituting the tax authority's view of reasonable remuneration. Where the payment is real, business-related, and supported by the employee's role and surrounding business conditions, the expenditure is allowable and disallowance is not sustainable. en-us Fri, 02 Aug 1968 00:00:00 +0530 Wed, 04 Dec 2024 12:30:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=5118 Commission paid to a general manager may qualify as business expenditure if it is genuine and incurred wholly and exclusively for business purposes under section 10(2)(xv) of the Income-tax Act, 1922. The test depends on the facts and circumstances, but commercial expediency must be judged from the businessman's standpoint, not by substituting the tax authority's view of reasonable remuneration. Where the payment is real, business-related, and supported by the employee's role and surrounding business conditions, the expenditure is allowable and disallowance is not sustainable. Case-Laws Income Tax Fri, 02 Aug 1968 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=5118