https://www.taxtmi.com/caselaws?id=23300 A provision set apart under section 15 of the Payment of Bonus Act for a possible future deficiency in allocable surplus was not "expenditure" under section 37 of the Income-tax Act because it did not discharge any existing liability and remained available if the contingency did not arise; the deduction was therefore disallowed. Surtax was also held not deductible in computing total income, as it was treated as an additional impost on business profits rather than an admissible business outgo; that deduction was likewise disallowed. Both questions were answered in favour of the Revenue. en-us Thu, 12 Apr 1990 00:00:00 +0530 Fri, 18 Dec 2009 12:02:37 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=23300 A provision set apart under section 15 of the Payment of Bonus Act for a possible future deficiency in allocable surplus was not "expenditure" under section 37 of the Income-tax Act because it did not discharge any existing liability and remained available if the contingency did not arise; the deduction was therefore disallowed. Surtax was also held not deductible in computing total income, as it was treated as an additional impost on business profits rather than an admissible business outgo; that deduction was likewise disallowed. Both questions were answered in favour of the Revenue. Case-Laws Income Tax Thu, 12 Apr 1990 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=23300