2014 (1) TMI 449

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....g the relevant assessment year, a premium of Rs. 1,10,00,000/- was paid by the assessee to the Life Insurance Corporation of India as and by way of premium for obtaining a policy to cover the leave encashment due to its employees, which will accrue in future. The Assessing Officer felt that since no expenditure was incurred by the assessee during the relevant assessment year on account of payment ....

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....for the purposes of the business or profession shall be allowed in computing the income chargeable under the head "Profits and gains of business or profession." 3. Therefore, in order to come within the provisions of Section 37 of the Act, the expenditure must not be (i) an expenditure of the nature described in Sections 30 to 36 of the Act, (ii) is not in the nature of capital expenditure and (i....