https://www.taxtmi.com/caselaws?id=19867 Deduction under section 36(1)(viii) is computed on total income before reducing the deduction itself and before Chapter VI-A deductions. The percentage-based deduction therefore applies to the pre-deduction income figure. Guest house expenditure that is not characterised as entertainment expenditure may be allowable as business expenditure under section 37 when incurred wholly and exclusively for business purposes. These principles support computation of the claimed deduction on pre-deduction income and treatment of qualifying guest house costs as deductible business expenditure. en-us Wed, 01 Sep 1993 00:00:00 +0530 Tue, 10 Nov 2009 12:59:50 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=19867 Deduction under section 36(1)(viii) is computed on total income before reducing the deduction itself and before Chapter VI-A deductions. The percentage-based deduction therefore applies to the pre-deduction income figure. Guest house expenditure that is not characterised as entertainment expenditure may be allowable as business expenditure under section 37 when incurred wholly and exclusively for business purposes. These principles support computation of the claimed deduction on pre-deduction income and treatment of qualifying guest house costs as deductible business expenditure. Case-Laws Income Tax Wed, 01 Sep 1993 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=19867