https://www.taxtmi.com/caselaws?id=57244 Retrenchment compensation paid on a transfer of management was treated as a real business liability under section 25FF of the Industrial Disputes Act, 1947, and therefore allowable as business expenditure under income-tax law. The text also states that telephone expenses, motor car maintenance, and car depreciation are not disallowable without a factual basis showing personal or non-business use, particularly where the connections are at business premises and the expenditure is reasonable for the scale of operations. The stated effect is that such claims are deductible when supported by business purpose and evidence, and unsupported estimates of disallowance are not justified. en-us Mon, 30 Aug 1999 00:00:00 +0530 Thu, 09 Dec 2010 11:13:15 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=57244 Retrenchment compensation paid on a transfer of management was treated as a real business liability under section 25FF of the Industrial Disputes Act, 1947, and therefore allowable as business expenditure under income-tax law. The text also states that telephone expenses, motor car maintenance, and car depreciation are not disallowable without a factual basis showing personal or non-business use, particularly where the connections are at business premises and the expenditure is reasonable for the scale of operations. The stated effect is that such claims are deductible when supported by business purpose and evidence, and unsupported estimates of disallowance are not justified. Case-Laws Income Tax Mon, 30 Aug 1999 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=57244