2017 (7) TMI 1372

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.....C. Tripathi i/b Mr. Atul K. Jasani for the Respondent. P. C. : 1. The present matter pertains to the assessment year 20072008. 2. Mr. Suresh Kumar, learned Counsel for the appellant strenuously contends that the Tribunal was not justified in allowing ex­gratia payment as a deductible expense. The ex­gratia payment by its very nature of payment is a favour having no nexus with com....

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.... the Act. The Tribunal has rightly considered the same. 4. We have considered the submissions. 5. Section 63 of the Act empowers the Board of Directors to approve payment of ex­gratia amount to its employees. It is also observed by the Tribunal that the assessee has been extending incentives to employees for the preceding years and the subsequent years also and the same is accepted by th....