https://www.taxtmi.com/caselaws?id=28876 Payments made under a commercial import scheme, where the assessee declined to import allotted cotton on quality grounds and the outlay was not attributable to any legal infraction, were deductible as business expenditure because they were directly connected with the business and made on commercial expediency. A payment to the Textile Commissioner under the Cotton Textile (Control) Order, 1948, was also allowable as a business deduction under sections 28 and 37. The article further notes that perquisites and remuneration paid to managing directors were subject to the statutory ceiling provisions, but the disallowance of amounts above one-fifth of salary was not justified on the reasoning advanced by the Revenue. en-us Mon, 16 Mar 1981 00:00:00 +0530 Mon, 08 Mar 2010 12:46:51 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=28876 Payments made under a commercial import scheme, where the assessee declined to import allotted cotton on quality grounds and the outlay was not attributable to any legal infraction, were deductible as business expenditure because they were directly connected with the business and made on commercial expediency. A payment to the Textile Commissioner under the Cotton Textile (Control) Order, 1948, was also allowable as a business deduction under sections 28 and 37. The article further notes that perquisites and remuneration paid to managing directors were subject to the statutory ceiling provisions, but the disallowance of amounts above one-fifth of salary was not justified on the reasoning advanced by the Revenue. Case-Laws Income Tax Mon, 16 Mar 1981 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=28876