2G Spectrum case Legal expense for directors cannot be treated as personal without examining outcome of CBI Court judgment

Kalaignar TV Pvt. Ltd. Vs ACIT (ITAT Chennai)  The assessee has claimed legal expenses and travelling & conveyance expenses before the Assessing Officer. The Assessing Officer mainly disallowed the expenditure claimed by the assessee on the ground that the legal proceedings was undertaken in respect of the charges framed against the Directors and shareholders of the assessee company for their alleged misconduct and not that of the company for the reason that Kalaignar TV Pvt. Ltd. is a mere recipient of the alleged illegal gratification and as a company it did not involve itself in the pr...