2011 (1) TMI 918

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....; M.M. Kumar, J.-   1. The revenue has approached this Court by filing the instant appeal under section 260A of the Income-tax Act, 1961 ('the Act') challenging order dated 30-4-2009 passed by the Income-tax Appellate Tribunal, Chandigarh Bench B, Chandigarh ('the Tribunal'). It has been claimed that following substantive question of law would arise for determination of ....

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....d an order giving substantial relief on 12-3-2007. The services of M/s. Oberoi, Sood and Kapoor, Chartered Accountants were engaged which resulted in preparation of final restructuring scheme. On account of assistance rendered by the Chartered Accountants major concession and substantial relief was given to the assessee-company. A professional payment of Rs. 53,70,000 was made to the Chartered Acc....

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....were incurred in conformity with the provisions of section 37 of the Act as the same were for the purposes of business, therefore, we are of the view it is an allowable deduction. The ratio laid by the Hon'ble Madras High Court in the case of CIT v. South India Sugars Ltd (275 ITR 491) (Mad.) clearly supports the case of the assessee. Reliance can also be placed in B. Nagi Reddy v. CIT(99 ITR ....

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....nditure, on the other hand, is operational in its perspective and solely intended for the furtherance of the enterprise. (See CIT v. Wolkem (P.) Ltd. Co. [2002] 258 ITR 350' (Raj.)   4. Having heard the learned counsel we are of the view that the Tribunal has rightly placed reliance on a Division Bench judgment of the Madras High Court in the case of CIT v. South India Sugars Ltd. [200....