https://www.taxtmi.com/caselaws?id=11772 The High Court held that expenses on boarding and lodging facilities provided to auditors and Government servants constitute entertainment expenditure under section 37(1) of the Income-tax Act, 1961. The Court considered the retrospective application of Explanation 2 to section 37(2A and concluded that such expenses fall within the ambit of entertainment expenditure. Relying on the Supreme Court's interpretation in a similar case, the High Court ruled in favor of the Revenue, overturning the Tribunal's decision. The judgment emphasizes adherence to statutory provisions and judicial precedents in determining the tax treatment of business expenses. en-us Thu, 13 Mar 2003 00:00:00 +0530 Mon, 08 Feb 2010 11:41:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=11772 The High Court held that expenses on boarding and lodging facilities provided to auditors and Government servants constitute entertainment expenditure under section 37(1) of the Income-tax Act, 1961. The Court considered the retrospective application of Explanation 2 to section 37(2A and concluded that such expenses fall within the ambit of entertainment expenditure. Relying on the Supreme Court's interpretation in a similar case, the High Court ruled in favor of the Revenue, overturning the Tribunal's decision. The judgment emphasizes adherence to statutory provisions and judicial precedents in determining the tax treatment of business expenses. Case-Laws Income Tax Thu, 13 Mar 2003 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=11772