25% disallowable on ad-hoc basis cannot be considered as reasonable/rational

Petnet Radio Pharmaceutial Solutions P. Ltd. Vs ACIT (ITAT Delhi) Disallowance of 25% Repair & Maintenance Expenses: This ground is related to the ad-hoc disallowance of 25% of Repairs and Maintenance expenses amounting to Rs.29,65,966/-. These expenses are routine, regular revenue expenses incurred wholly and exclusively for the purpose of business of the assessee company to ensure that the operations of the company are carried out smoothly. During the relevant AY, the assessee company has incurred repair & maintenance expenditure amounting to Rs 1,18,63,864/-. The major part of this...