ESOP expenditure allowable as deduction u/s 37(1) of the Income Tax Act

EIT Services India Pvt. Ltd Vs DCIT (ITAT Bangalore) ITAT Bangalore held that expression ‘expenditure’ also includes loss and therefore the difference between the price at which the shares are issued to the employees and the market value of the shares would be expenditure incurred for section 37(1) of the Income Tax Act. Facts- Assessee has challenged the order of DCIT passed u/s 143(3) r.w.s. 144C(13) r.w.s. 143(3A) & 143(3B) on various grounds like – Rejection of value of international transactions relating to software development services and information technology enabled servic...