https://www.taxtmi.com/caselaws?id=19950 The High Court held that the consultancy fee paid to a director for consultancy services, not as a director, was not subject to limitations under Section 40(c)(i) of the Income-tax Act, 1961. The fee was deemed reasonable and justified under Section 40A(2)(a) due to the substantial benefits derived by the company from securing a consultancy contract with Boeing. The court recognized the director's dual capacities and affirmed that the consultancy fee was essential for the business needs of the company. The judgment favored the assessee, with no costs awarded. en-us Thu, 29 Jul 1993 00:00:00 +0530 Tue, 10 Nov 2009 17:26:21 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=19950 The High Court held that the consultancy fee paid to a director for consultancy services, not as a director, was not subject to limitations under Section 40(c)(i) of the Income-tax Act, 1961. The fee was deemed reasonable and justified under Section 40A(2)(a) due to the substantial benefits derived by the company from securing a consultancy contract with Boeing. The court recognized the director's dual capacities and affirmed that the consultancy fee was essential for the business needs of the company. The judgment favored the assessee, with no costs awarded. Case-Laws Income Tax Thu, 29 Jul 1993 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=19950