https://www.taxtmi.com/caselaws?id=39132 The court determined that the expenses incurred by the assessee in supplying coffee, tea, cigarettes, and meals to customers constituted entertainment expenditure under section 37(2A) of the Income-tax Act, 1961. The court rejected the argument that only lavish hospitality qualifies as entertainment, stating that any hospitality extended in connection with business falls within the scope of entertainment expenditure. The decision favored the department over the assessee, with the Tribunal's ruling being deemed erroneous. Each party was directed to bear their respective costs, and a copy of the judgment was to be forwarded to the Tribunal as per statutory requirements. en-us Fri, 30 Jul 1976 00:00:00 +0530 Wed, 20 Apr 2016 18:21:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=39132 The court determined that the expenses incurred by the assessee in supplying coffee, tea, cigarettes, and meals to customers constituted entertainment expenditure under section 37(2A) of the Income-tax Act, 1961. The court rejected the argument that only lavish hospitality qualifies as entertainment, stating that any hospitality extended in connection with business falls within the scope of entertainment expenditure. The decision favored the department over the assessee, with the Tribunal's ruling being deemed erroneous. Each party was directed to bear their respective costs, and a copy of the judgment was to be forwarded to the Tribunal as per statutory requirements. Case-Laws Income Tax Fri, 30 Jul 1976 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=39132