https://www.taxtmi.com/caselaws?id=20288 The Bombay High Court ruled in favor of the assessee, holding that payments made to a director's proprietary concern did not fall under section 40(c) of the Income-tax Act as they were not payments to the director in his capacity as a director. This decision was based on the Supreme Court's interpretation that section 40(c) applies only to payments made to directors in their capacity as directors. As a result, the disallowance of Rs. 1,83,842 as commission on sales paid to International Paper Company was deemed unjustified, and the case was disposed of with no order as to costs. en-us Wed, 01 Sep 1993 00:00:00 +0530 Fri, 13 Nov 2009 10:38:39 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=20288 The Bombay High Court ruled in favor of the assessee, holding that payments made to a director's proprietary concern did not fall under section 40(c) of the Income-tax Act as they were not payments to the director in his capacity as a director. This decision was based on the Supreme Court's interpretation that section 40(c) applies only to payments made to directors in their capacity as directors. As a result, the disallowance of Rs. 1,83,842 as commission on sales paid to International Paper Company was deemed unjustified, and the case was disposed of with no order as to costs. Case-Laws Income Tax Wed, 01 Sep 1993 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=20288