https://www.taxtmi.com/caselaws?id=410326 The tribunal held that the encashment of the bank guarantee was compensatory and not penal in nature, allowing the claim of Rs. 1,10,61,051/- as a business expenditure under Section 37(1) of the Income Tax Act, 1961. The tribunal relied on various precedents to support its decision and directed the Assessing Officer to delete the disallowance, ruling in favor of the assessee. en-us Thu, 06 May 2021 00:00:00 +0530 Fri, 30 Jul 2021 10:52:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=410326 The tribunal held that the encashment of the bank guarantee was compensatory and not penal in nature, allowing the claim of Rs. 1,10,61,051/- as a business expenditure under Section 37(1) of the Income Tax Act, 1961. The tribunal relied on various precedents to support its decision and directed the Assessing Officer to delete the disallowance, ruling in favor of the assessee. Case-Laws Income Tax Thu, 06 May 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=410326