https://www.taxtmi.com/caselaws?id=7023 Commission paid to an agent in Japan for securing coal supply contracts was held to be revenue expenditure allowable as a deduction under section 10(2)(xv) of the Indian Income-tax Act, 1922. The payment was made in the ordinary course of the assessee's coal business to obtain sales orders, and the rate of commission was found to accord with normal commercial practice. No monopoly right, exclusive privilege, or enduring advantage was acquired; the fact that the assessee entered a new market and paid a high commission did not alter the trading character of the outlay. The expenditure formed part of the profit-earning process and was allowed as a deduction. en-us Thu, 29 Sep 1966 00:00:00 +0530 Sat, 07 Feb 2009 19:48:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=7023 Commission paid to an agent in Japan for securing coal supply contracts was held to be revenue expenditure allowable as a deduction under section 10(2)(xv) of the Indian Income-tax Act, 1922. The payment was made in the ordinary course of the assessee's coal business to obtain sales orders, and the rate of commission was found to accord with normal commercial practice. No monopoly right, exclusive privilege, or enduring advantage was acquired; the fact that the assessee entered a new market and paid a high commission did not alter the trading character of the outlay. The expenditure formed part of the profit-earning process and was allowed as a deduction. Case-Laws Income Tax Thu, 29 Sep 1966 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=7023