https://www.taxtmi.com/caselaws?id=426141 Reimbursement of actual common services cost without markup was treated as a cost-only payment, so no tax deduction obligation arose and disallowance under section 40(a)(ia) was not sustained. Partner remuneration was upheld where the partnership deed authorised annual payment within statutory limits, even for a partner joining during the year, so section 40(b) did not apply to reduce the deduction. Payments to retired partners were also accepted as governed by the partnership arrangement and earlier binding factual findings on diversion by overriding title. On the facts, TDS-related outgo was allowable despite cash accounting because the tax had been deducted and deposited within time. en-us Fri, 05 Aug 2022 00:00:00 +0530 Tue, 09 Aug 2022 08:42:23 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=426141 Reimbursement of actual common services cost without markup was treated as a cost-only payment, so no tax deduction obligation arose and disallowance under section 40(a)(ia) was not sustained. Partner remuneration was upheld where the partnership deed authorised annual payment within statutory limits, even for a partner joining during the year, so section 40(b) did not apply to reduce the deduction. Payments to retired partners were also accepted as governed by the partnership arrangement and earlier binding factual findings on diversion by overriding title. On the facts, TDS-related outgo was allowable despite cash accounting because the tax had been deducted and deposited within time. Case-Laws Income Tax Fri, 05 Aug 2022 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=426141