Commission to Director cannot be disallowed without examining appointment terms

Kirloskar Oil Engines Limited Vs JCIT (ITAT Pune) The issue under consideration is whether the disallowance made for commission paid to director u/s. 40A(2) is justified? ITAT states that, the assessee is against disallowance of commission paid to Shri Atul Kirloskar u/s. 40A(2) of the Act. It is an undisputed fact that in earlier assessment years disallowance on account of remuneration to the Directors were made by the Assessing Officer. The issue travelled up to the Tribunal and the Tribunal in appeal by the Revenue in ITA No. 1919/PUN/2014 for assessment year 2009-10 vide order dated 17-07Â...