https://www.taxtmi.com/caselaws?id=468747 Where expenditure is not fully substantiated, but the revenue also relies only on ad hoc estimates without comparable material or business trend data, the disallowance must be confined to a fair and reasonable basis. On the facts discussed, commission expenditure was reduced from a higher lump-sum estimate to 5%, and similar ad hoc disallowance of conveyance, telephone, travelling and shop expenses was also reduced to 5%. The article reflects that partial disallowance may survive where the claim lacks adequate evidence, but the estimate must remain proportionate and fact-based. en-us Wed, 05 Feb 2025 00:00:00 +0530 Tue, 19 May 2026 18:56:47 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=468747 Where expenditure is not fully substantiated, but the revenue also relies only on ad hoc estimates without comparable material or business trend data, the disallowance must be confined to a fair and reasonable basis. On the facts discussed, commission expenditure was reduced from a higher lump-sum estimate to 5%, and similar ad hoc disallowance of conveyance, telephone, travelling and shop expenses was also reduced to 5%. The article reflects that partial disallowance may survive where the claim lacks adequate evidence, but the estimate must remain proportionate and fact-based. Case-Laws Income Tax Wed, 05 Feb 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=468747