Marketing Expense for Issuance of Handsets on Free of Cost is allowed as Business Expense

Nokia India Pvt. Ltd. Vs ACIT (ITAT Delhi) The issue under consideration is whether the marketing expenditure incurred on account of issuance of handsets on free of cost basis is allowed as business expense or not? ITAT states that the assessee is engaged in manufacture, import and sale of mobile handsets. The assessee has given mobile handsets to its employees, dealers, sale personnel etc. for free of cost and thus no longer owned the said handsets. Thus, the said cost was rightly taken as business expenditure by the assessee and was rightly reduced from the inventory. This issue is decided i...