Brief of the case:
1.Assessee would be allowed deduction of payment of employees contribution of ESI and PF if it paid the same before the due date of filing of return u/s 139(1).
2. Pooja & Temple expenses would be allowed as a business expenditure because it was related with the harmony of business so business expenditure.
3.Cess on green leaf is a business expenditure so allowed as a business expenditure.
4.TDS would not be required to deducted u/s 195 if the payment had been made to foreign agent who was not having any permanent establishment in India.
5. Wealth tax would be deducted for the calculation of book profits u/s 115JB after relying on the case of Usha Martin Industries Ltd. Vs. CIT (2003) 81 TTJ 158 (Cal).
6. Bad debts would be allowed as a deduction if the same had been debited to profit & Loss account.AO could not question the genuineness of the bad debts.
7.Nursery expenses would be allowed as a revenue expense not capital expense.
8.Donations made in the business would be allowed as a expense subject to the verification of certificates.
9.TDS / Advance Tax credit would be allowed to the assesse even though the same were not reflecting in form 26AS provided the same were verified with deposit challans of the same.
Facts of the case:
1.Assessee had paid the dues of PF & ESI after the due dates mentioned under the respective acts but before the due date of filing return mentioned u/s 139(1) i.e fulfilling the conditions of sec 43B.
2.Assessee had claimed pooja expenses and temple expenses as a business expenses but AO disallowed the same.
3. Assessee had considered the cess on green leaf as a revenue expense but AO considered the same to be capital expenses.
4.Assessee had not deducted TDS on payment made to foreign agent because the agent was not having any permanent establishment in India.
5.Assessee had deducted wealth tax for calculating book profits u/s 115JB but AO was of view that it should not be deducted .
6. Assessee had claimed debts in the profit & Loss account but AO disallowed the same.
