Membership fees paid for key person of company is allowable as business expenditure

New Globe Logistik Pvt Ltd Vs ITO (ITAT Mumbai) The ITAT Mumbai held that the membership fees paid by New Globe Logistik Pvt Ltd to the Cricket Club of India for Shri. Anand Didwania, a director and later partner of the company, is allowable as a business expenditure. It was determined that the membership would bring benefits to the business of the company since Shri. Anand Didwania was a key person. Referring to the Supreme Court decision in the case of United Glass MFG Co. Ltd., the ITAT directed the Assessing Officer to delete the addition of Rs. 22,60,000/-. Facts- The main grievance of th...