https://www.taxtmi.com/caselaws?id=7896 The High Court of Andhra Pradesh allowed the deduction of a pension payment in the computation of business income for a UK-based company operating in India. The court held that the payment to secure a director's services for an extended period was not gratuitous but incurred for commercial expediency, aligning with the criteria of commercial expediency and employee expectation. The court emphasized the modification of the service agreement and the importance of retaining the director's services, ruling in favor of the assessee and awarding costs, including advocate's fee. en-us Fri, 27 Feb 1970 00:00:00 +0530 Mon, 23 Mar 2009 17:14:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=7896 The High Court of Andhra Pradesh allowed the deduction of a pension payment in the computation of business income for a UK-based company operating in India. The court held that the payment to secure a director's services for an extended period was not gratuitous but incurred for commercial expediency, aligning with the criteria of commercial expediency and employee expectation. The court emphasized the modification of the service agreement and the importance of retaining the director's services, ruling in favor of the assessee and awarding costs, including advocate's fee. Case-Laws Income Tax Fri, 27 Feb 1970 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=7896