https://www.taxtmi.com/caselaws?id=369140 The Tribunal allowed the Assessee's appeal, directing the deletion of the disallowed bank guarantee expenses under section 37(1) of the Act. It concluded that the expenses were revenue in nature, not capital, as they did not result in any enduring benefit and were directly linked to the Assessee's revenue activities. The Tribunal emphasized that if the performance guarantee was forfeited, the expenses were compensatory and allowable as business expenditure. Therefore, the disallowance was deleted, and the Assessee's appeal was upheld. en-us Mon, 08 Oct 2018 00:00:00 +0530 Mon, 22 Oct 2018 09:53:34 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=369140 The Tribunal allowed the Assessee's appeal, directing the deletion of the disallowed bank guarantee expenses under section 37(1) of the Act. It concluded that the expenses were revenue in nature, not capital, as they did not result in any enduring benefit and were directly linked to the Assessee's revenue activities. The Tribunal emphasized that if the performance guarantee was forfeited, the expenses were compensatory and allowable as business expenditure. Therefore, the disallowance was deleted, and the Assessee's appeal was upheld. Case-Laws Income Tax Mon, 08 Oct 2018 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=369140