Allowability of Foreign Tour expenses of wife of Managing Director

J.K. Industries Ltd. Vs. Commissioner of Income Tax (Calcutta High Court)– When the Board of Directors of the assessee had thought it fit to spend on the foreign tour of the accompanying wife of the Managing Director for commercial expediency, the reasons being reflected in its resolution quoted by us, it was not within the province of the Income-tax Authority to disallow such expenditure by sitting over the decision of the Board, in the absence of any specific bar created by the Statute for such expenditure.

IN THE HIGH COURT OF CALCUTTA
ITA No. 624 of 2004
J K INDUSTRIES LTD

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