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Case Law Details

Case Name : Mehta Equities Ltd. Vs DCIT (ITAT Mumbai)
Related Assessment Year : 2012-13
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Mehta Equities Ltd. Vs DCIT (ITAT Mumbai)

The issue under consideration is whether the CIT(A) is correct in upholding the action of the Assessing Officer in making a disallowance under section 36(1)(ii) of the Act; being bonus paid to the Directors of the Company by holding that such payments are in lieu of dividend or profits?

That there is no law that the assessee-company can be forced to pay dividend. However, learned Counsel of the assessee could not make cogent submis

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One Comment

  1. SUDIP BHATTACHERJEE says:

    Particulars : There is inconsistency in Any sum paid to an employee as bonus or commission for services rendered, where such sum was otherwise payable to him as profits or dividend.[36(1)(ii)]claimed in return in schedule OI and audit report
    ₹30,000
    Amount mentioned in form Annexure 3CD (b)
    ₹0
    Amount mentioned in the Income Tax Return (a)
    ₹30,000
    Variance (b)-(a) returne rectification

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