Discount on issue of ESOP is allowable expenditure u/s 37(1)

Morgan Stanley Advantage Services Pvt. Ltd Vs CIT (A) (ITAT Mumbai) ITAT Held that discount on issue of ESOP is allowable as deduction under the head Profits & Gains of Business or Profession. Facts- The assessee-company is engaged in the business of rendering front office and back office support to the Morgan Stanley group of companies globally. The assessee-company has shown income under the heads “Business & Profession”, “Capital Gains” and “Income from Other Sources”. During the proceedings, the assessee was given a show-cause notice regarding dis-allowability of claim ...