Ad Hoc Disallowance Without Rejecting Books Unsustainable: ITAT Delhi

Radcliffe Schools Education Ltd. Vs ACIT (ITAT Delhi) The Delhi Bench of the Income Tax Appellate Tribunal (ITAT) heard the assessee’s appeal against the order of the CIT(A)/NFAC dated 17.11.2025, which had confirmed the Assessing Officer’s disallowance of business promotion expenses amounting to ₹73,78,079 for the relevant assessment year. The assessee is engaged in the business of schooling, granting franchises to schools in Hyderabad, Allahabad and Kochi, and in the composite sale of courseware books and rentals for business and K-12 schools. The case was selected for scrutiny...