https://www.taxtmi.com/caselaws?id=791410 Medical reimbursement paid by a company for the critical heart surgery of a full-time employee and promoter-director was treated as allowable business expenditure under the Income-tax Act. The payment was authorised by board resolution, booked under employee benefit expenses, and related to a key person instrumental in the business. Because the treatment was for a prescribed ailment in an approved hospital and the company bore only part of the total cost while the employee funded the balance, the outlay was found commercially expedient and not a personal expense of the company. The disallowance was therefore unsustainable and the addition was deleted. en-us Fri, 08 May 2026 00:00:00 +0530 Mon, 11 May 2026 09:50:56 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=791410 Medical reimbursement paid by a company for the critical heart surgery of a full-time employee and promoter-director was treated as allowable business expenditure under the Income-tax Act. The payment was authorised by board resolution, booked under employee benefit expenses, and related to a key person instrumental in the business. Because the treatment was for a prescribed ailment in an approved hospital and the company bore only part of the total cost while the employee funded the balance, the outlay was found commercially expedient and not a personal expense of the company. The disallowance was therefore unsustainable and the addition was deleted. Case-Laws Income Tax Fri, 08 May 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=791410