https://www.taxtmi.com/caselaws?id=17361 The court upheld the allowance of mess expenses for the assessment year 1974-75, citing the absence of lavish entertainment expenditure criteria. However, for the assessment years 1976-77 and 1977-78, entertainment expenses were disallowed unless incurred on the assessee's employees. Interest paid to entities was treated as business expenditure, guarantee commission as revenue expenditure, and higher development rebate for machinery installation was allowed. Depreciation on the exchange value difference for loans from foreign banks was also permitted. The court ruled in favor of the assessee on all issues except for entertainment expenses in the later assessment years. en-us Wed, 13 Nov 1996 00:00:00 +0530 Mon, 21 Sep 2009 17:44:50 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=17361 The court upheld the allowance of mess expenses for the assessment year 1974-75, citing the absence of lavish entertainment expenditure criteria. However, for the assessment years 1976-77 and 1977-78, entertainment expenses were disallowed unless incurred on the assessee's employees. Interest paid to entities was treated as business expenditure, guarantee commission as revenue expenditure, and higher development rebate for machinery installation was allowed. Depreciation on the exchange value difference for loans from foreign banks was also permitted. The court ruled in favor of the assessee on all issues except for entertainment expenses in the later assessment years. Case-Laws Income Tax Wed, 13 Nov 1996 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=17361