Assessee can claim business expense after SEBI approval to commence business

DCIT  Vs PPFAS Asset Management Pvt. Ltd. (ITAT Mumbai) As SEBI approval mandatory is to commence business, assessee admissible to claim business expenses only after obtaining the necessary approval. Since commencement of business require SEBI approval, expenses claimed post approval would qualify as business expense. Facts – The assessee was incorporated on 08.08.2011 as a Private Limited Company. Assessee was required to obtain SEBI approval for undertaking its business. SEBI approval was granted on 17.10.2012. AO contended that the expenses claimed by the assessee cannot be allowed as bu...