Expenditure on scientific research not certified by DSIR is allowable as deduction u/s 37

BEML Limited Vs DCIT (ITAT Bangalore)

ITAT Bangalore held that weighted deduction u/s 35(2AB) is not allowable for expenditure incurred on scientific research as the same are not certified by DSIR. However, such expenditure are allowable as deduction u/s 37 of the Income Tax Act.

Facts- The issue involved here is that amount of Rs. 7.94 Crores towards expenditure on scientific research was not certified by DSIR. Accordingly, the same was disallowed by AO.

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