Corporate Social Responsibility expenditure is allowable deduction u/s 37

PCIT Vs PEC Ltd. (Delhi High Court) Delhi High Court held that Explanation 2 was inserted in Section 37 via Finance (No.2) Act, 2004 and is effective from 01.04.2015 [from Assessment Year 2015-2016 onwards]. Accordingly, expenditure incurred towards Corporate Social Responsibility is allowable as deduction u/s 37 of the Income Tax Act. Facts- The present writ is filed by the department alleging that ITAT has erred in allowing deduction of expenses undertaken under the Corporate Social Responsibility (CSR) endeavor u/s. 37 of the Income Tax Act. Department alleges that deduction u/s 37 can be c...