https://www.taxtmi.com/caselaws?id=793894 Bonus expenditure supported by the profit and loss account, audit report and a separate bonus ledger could not be disallowed once the full evidence was before the appellate authority; the disallowance was deleted. The note also states that the appellate authority failed to follow Rule 46A procedure, including giving the Assessing Officer an opportunity to examine additional evidence, which vitiated confirmation of the disallowance. Because the penalty was imposed only as a consequence of the bonus disallowance, it could not survive after the underlying addition was deleted, and the penalty was set aside. en-us Mon, 22 Jun 2026 00:00:00 +0530 Thu, 25 Jun 2026 08:27:35 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=793894 Bonus expenditure supported by the profit and loss account, audit report and a separate bonus ledger could not be disallowed once the full evidence was before the appellate authority; the disallowance was deleted. The note also states that the appellate authority failed to follow Rule 46A procedure, including giving the Assessing Officer an opportunity to examine additional evidence, which vitiated confirmation of the disallowance. Because the penalty was imposed only as a consequence of the bonus disallowance, it could not survive after the underlying addition was deleted, and the penalty was set aside. Case-Laws Income Tax Mon, 22 Jun 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=793894