https://www.taxtmi.com/caselaws?id=192327 The Tribunal dismissed all appeals, upholding the disallowance of expenditure claimed under the Employees Stock Option Scheme (ESOP) as staff welfare expenses. It confirmed that such notional losses from issuing shares below market price do not qualify as allowable expenditure under section 37 of the IT Act. Additionally, the Tribunal upheld the deletion of the penalty under section 271(1)(c), stating that the disallowance of ESOP expenditure does not constitute furnishing inaccurate particulars or concealing income. en-us Thu, 30 Dec 2010 00:00:00 +0530 Tue, 03 Oct 2023 10:32:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=192327 The Tribunal dismissed all appeals, upholding the disallowance of expenditure claimed under the Employees Stock Option Scheme (ESOP) as staff welfare expenses. It confirmed that such notional losses from issuing shares below market price do not qualify as allowable expenditure under section 37 of the IT Act. Additionally, the Tribunal upheld the deletion of the penalty under section 271(1)(c), stating that the disallowance of ESOP expenditure does not constitute furnishing inaccurate particulars or concealing income. Case-Laws Income Tax Thu, 30 Dec 2010 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=192327