TaxTMI 
TaxTMI 
2009 (4) TMI 1032
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....03/Del/2008 2. This is an appeal against the order of the CIT under section 263 of the Act. The original assessment in this case was made on 23.3.2006 under section 143(3) on the total income at Nil declaring loss of ₹ 3,81,04,132/-. In the profit and loss account, the assessee had claimed the deduction of expenditure on account of advertisement and publicity, the details of which were furnished vide letter dated March 10, 2006. The said expenditure on advertisement and publicity included the two amounts of provision for expenses - one of ₹ 69,34,853/- and other for ₹ 12,64,839/- aggregating to ₹ 81,99,000/-. The claim of the advertisement was accepted by the Assessing Officer in the original assessment order though....
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....es, Ghaziabad 75,250 Caravan Calcutta - IAC 63,000 Benarasilal, Kishanlal & Co. 45,000 DS Oil Trading & Co. 45,000 Ganganagar Motors Limited 63,000 New Delhi Tyre House - Del 93,250 Singh Automobiles, UP (P) 45,000 Rajdeep Associates, AP (P) 97,750 Sri Sai Agencies AP - IAC 63,000 Gupta Impax, Jharkhand (P) 66,250 Raj Lubricants Belgaum 45,000 Rohit Enterprises, UP (P) 63,000 Smith Enterprises, Auto (P) 45,000 PAE Limited MH (C) Raigad 10,000 Total B 1,291,500 The CIT was not convinced with the submission of the assessee that the liabilities were ascertained. He, therefore, held the assessment order to be erroneous and prejudicial to the interests of revenue. However, in order to take a final view....
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...., the person who visited, the countries visited and the purpose of travel. Assessee filed the details in six cases amounting to ₹ 3,89,766/- which was allowed by the Assessing Officer and the balance was disallowed. The assessee submitted that foreign expenses were reimbursed on actual basis and there is no practice to retain the sanction given by the superior authority which was not accepted to be justifiable reason to allow the claim of the assessee even by the CIT (Appeals). 6. The learned counsel of the assessee brought to our notice the policy of the company regarding business travel relating expenses which provides that reimbursable expenses on company business trips include necessary and reasonable additional living costs and ....
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....#8377; 16,05,837/- as against ₹ 3,99,120/- disallowed by the Assessing Officer without apparently giving any notice for enhancement. Learned DR supported the order of the Assessing Officer and submitted that in view of the Madras High Court decision (supra) referred to by the Assessing Officer, the expenditure is rightly disallowed. He also supported the order of the CIT (Appeals) for enhancing the addition. 8. We have heard the parties and considered the rival contentions. It is true that some of the e.mails were not furnished by the assessee but in view of the details furnished by the assessee, it cannot be said that the expenditure is not incurred or not allowable at all. On the facts and circumstances of the case, in our opinion,....