https://www.taxtmi.com/caselaws?id=27209 Commission paid to directors for services rendered in the course of business was examined against the deductibility claim under section 37 of the Income-tax Act and the remuneration ceiling under the Companies Act. The High Court noted that section 198 fixes the managerial remuneration limit, while section 309(5A) requires only the excess amount, if any, to be treated as refundable and held in trust. Because the assessment order did not determine the permissible limit or quantify any excess remuneration, the proposed reference lacked the factual foundation needed for decision and was declined on the existing record. en-us Mon, 17 Sep 1984 00:00:00 +0530 Thu, 11 Feb 2010 15:14:41 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=27209 Commission paid to directors for services rendered in the course of business was examined against the deductibility claim under section 37 of the Income-tax Act and the remuneration ceiling under the Companies Act. The High Court noted that section 198 fixes the managerial remuneration limit, while section 309(5A) requires only the excess amount, if any, to be treated as refundable and held in trust. Because the assessment order did not determine the permissible limit or quantify any excess remuneration, the proposed reference lacked the factual foundation needed for decision and was declined on the existing record. Case-Laws Income Tax Mon, 17 Sep 1984 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=27209