https://www.taxtmi.com/highlights?id=89064 ITAT upheld the CIT(A)'s decision, rejecting the AO's disallowance of management fees under Section 37(1). The tribunal emphasized that expenses must be incurred for business purposes and be revenue in nature, irrespective of revenue matching. The key consideration is whether the expenditure serves a legitimate business objective, not its proportionality to revenue. The tribunal found the CIT(A)'s factual findings sound and comprehensive, thereby dismissing the revenue's appeal and allowing the assessee's original claim for expense recognition. en-us Wed, 04 Jun 2025 08:40:40 +0530 Wed, 04 Jun 2025 08:40:41 +0530 TaxTMI RSS Generator https://www.taxtmi.com/highlights?id=89064 ITAT upheld the CIT(A)'s decision, rejecting the AO's disallowance of management fees under Section 37(1). The tribunal emphasized that expenses must be incurred for business purposes and be revenue in nature, irrespective of revenue matching. The key consideration is whether the expenditure serves a legitimate business objective, not its proportionality to revenue. The tribunal found the CIT(A)'s factual findings sound and comprehensive, thereby dismissing the revenue's appeal and allowing the assessee's original claim for expense recognition. Highlights Income Tax Wed, 04 Jun 2025 08:40:40 +0530 https://www.taxtmi.com/highlights?id=89064