https://www.taxtmi.com/caselaws?id=287073 Damages and legal expenses arising from breach of ordinary forward export contracts were treated as business losses deductible in computing profits, because the contracts were normal incidents of export trade and not shown to be illegal, speculative, or opposed to public policy. The court noted that the export-control notifications contemplated quota-based export and licensing rather than an absolute ban, so the assessee had not infringed any express or implied prohibition. On that basis, the amounts were held to be incurred for the purpose of earning profits and allowable as deductions under section 10(2)(xv) of the Income-tax Act, 1922. en-us Wed, 29 Aug 1962 00:00:00 +0530 Fri, 27 Mar 2020 14:37:59 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=287073 Damages and legal expenses arising from breach of ordinary forward export contracts were treated as business losses deductible in computing profits, because the contracts were normal incidents of export trade and not shown to be illegal, speculative, or opposed to public policy. The court noted that the export-control notifications contemplated quota-based export and licensing rather than an absolute ban, so the assessee had not infringed any express or implied prohibition. On that basis, the amounts were held to be incurred for the purpose of earning profits and allowable as deductions under section 10(2)(xv) of the Income-tax Act, 1922. Case-Laws Income Tax Wed, 29 Aug 1962 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=287073