2001 (8) TMI 22

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....he Revenue: "(1) Whether, the payments on account of medial insurance and accident insurance premium were liable to be included while calculating the disallowance under section 40A(5) of the Act?" Learned counsel for the parties agree that the question referred is concluded in favour of the assessee in the case of CIT v. Cama Motors P. Ltd. [1998] 234 ITR 699 (Guj). We accordingly answer the question in the negative, i.e, in favour of the assessee and against the Revenue. The following question is also referred at the instance of the Revenue: "(2) Whether, a sum of Rs. 46,610 paid to Mettur Beardsell Ltd. was allowable as a deduction?" Learned counsel for the parties agree that the aforesaid sum of Rs. 46,610 paid by way of r....

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....e Revenue and against the assessee. At the instance of the assessee the following question No. 3 has been referred to us: "(3) Whether, on the facts and circumstances of the case, the Appellate Tribunal was right in confirming the disallowance of Rs. 30,577 invoking the provisions of section 37(5) of the Income-tax Act, 1961?" The question pertains to the amount of expenditure incurred by the assessee for maintenance of house at Bombay. The Tribunal has given a finding of fact that these premises were used by the assessee for accommodating the officers and executives as and when they were on official business on behalf of the company. In view of this finding and the decision of this court in CIT v. Kaira District Co-operative Milk ....