Professional tax - Whether deductible as revenue expenditure

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ection 40(a)(ii). Section 40(a)(ii) authorises disallowance of any sum paid on account of any rate or tax levied on the profits or gains of any business or profession or assessed at a proportion of, or otherwise on the basis of, any such profits and gains. The professional tax levied by local authorities cannot normally be considered to fall within section 40(a)(ii). In order to fall in this cat....