https://www.taxtmi.com/caselaws?id=296132 The Tribunal allowed the appeal, overturning the disallowance of bonus and commission under section 36(1)(ii) of the Income Tax Act, 1961. The Tribunal held that the payments to directors were within legal limits and not linked to specific efforts as claimed by the Commissioner of Income Tax (Appeals). The agreements for bonus and commission were considered valid, and the Tribunal emphasized interpreting agreements based on the intentions of both parties. Therefore, section 36(1)(ii) was deemed inapplicable in this case, resulting in a favorable outcome for the assessee. en-us Wed, 20 Mar 2019 00:00:00 +0530 Tue, 06 Jul 2021 09:42:31 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=296132 The Tribunal allowed the appeal, overturning the disallowance of bonus and commission under section 36(1)(ii) of the Income Tax Act, 1961. The Tribunal held that the payments to directors were within legal limits and not linked to specific efforts as claimed by the Commissioner of Income Tax (Appeals). The agreements for bonus and commission were considered valid, and the Tribunal emphasized interpreting agreements based on the intentions of both parties. Therefore, section 36(1)(ii) was deemed inapplicable in this case, resulting in a favorable outcome for the assessee. Case-Laws Income Tax Wed, 20 Mar 2019 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=296132