https://www.taxtmi.com/caselaws?id=7774 Professional fees paid to tax consultants for handling income-tax assessment and appellate proceedings were treated as deductible business expenditure under section 10(2)(xv) of the Indian Income-tax Act, 1922. The governing test was whether the outlay was laid out wholly and exclusively for the purposes of the business, and the court accepted that fees incurred to secure a correct assessment and protect business funds were commercially expedient. The distinction between tax as such and expenditure incurred to ascertain the correct tax liability was material: the latter was regarded as a business outgoing because it preserved legitimate profits. en-us Fri, 21 Jun 1968 00:00:00 +0530 Thu, 19 Mar 2009 09:41:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=7774 Professional fees paid to tax consultants for handling income-tax assessment and appellate proceedings were treated as deductible business expenditure under section 10(2)(xv) of the Indian Income-tax Act, 1922. The governing test was whether the outlay was laid out wholly and exclusively for the purposes of the business, and the court accepted that fees incurred to secure a correct assessment and protect business funds were commercially expedient. The distinction between tax as such and expenditure incurred to ascertain the correct tax liability was material: the latter was regarded as a business outgoing because it preserved legitimate profits. Case-Laws Income Tax Fri, 21 Jun 1968 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=7774