https://www.taxtmi.com/caselaws?id=15768 The court held that expenses on foreign tours for dealers, amounting to Rs. 3,41,043, were allowable business expenditure under section 37(1) of the Income-tax Act. The expenditure was deemed as an ascertained liability, not contingent, and directly linked to sales performance incentives, rather than entertainment expenses. The court distinguished the nature of the expenditure from typical entertainment costs, emphasizing that it was a business incentive. The court ruled in favor of the assessee, concluding that the foreign tour expenses were not subject to the restrictions of section 37(2A) as entertainment expenditure. en-us Tue, 17 Aug 1999 00:00:00 +0530 Thu, 27 Aug 2009 15:54:24 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=15768 The court held that expenses on foreign tours for dealers, amounting to Rs. 3,41,043, were allowable business expenditure under section 37(1) of the Income-tax Act. The expenditure was deemed as an ascertained liability, not contingent, and directly linked to sales performance incentives, rather than entertainment expenses. The court distinguished the nature of the expenditure from typical entertainment costs, emphasizing that it was a business incentive. The court ruled in favor of the assessee, concluding that the foreign tour expenses were not subject to the restrictions of section 37(2A) as entertainment expenditure. Case-Laws Income Tax Tue, 17 Aug 1999 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=15768