https://www.taxtmi.com/caselaws?id=358958 The Division Bench upheld the Tribunal's decision that expenses debited to the parent company account by a software development company were not subject to Fringe Benefits Tax (FBT) as they did not involve an employer-employee relationship, thus not falling under section 115 WD of the Income Tax Act, 1961. The court emphasized the distinction between business-related expenditures and expenses on sales promotion, affirming that an employer-employee relationship is essential for FBT applicability. The appeal was dismissed, with no substantial question of law identified, reinforcing the legal requirements for FBT provisions. en-us Mon, 30 Oct 2017 00:00:00 +0530 Fri, 20 Apr 2018 12:39:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=358958 The Division Bench upheld the Tribunal's decision that expenses debited to the parent company account by a software development company were not subject to Fringe Benefits Tax (FBT) as they did not involve an employer-employee relationship, thus not falling under section 115 WD of the Income Tax Act, 1961. The court emphasized the distinction between business-related expenditures and expenses on sales promotion, affirming that an employer-employee relationship is essential for FBT applicability. The appeal was dismissed, with no substantial question of law identified, reinforcing the legal requirements for FBT provisions. Case-Laws Income Tax Mon, 30 Oct 2017 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=358958