Grant-in-aid incurred wholly and exclusively for business is deductible: ITAT Delhi

Housing & Urban Development Vs ACIT (ITAT Delhi) ITAT Delhi held that grant-in-aid incurred wholly and exclusively for the purpose of business is allowable as deduction. Accordingly, appeal is allowed and addition of the same by AO is liable to be deleted. Facts- The assessee company is engaged in the business of providing finance for development of housing and infrastructure projects. During the course of assessment proceedings, the assessee claimed expenditure pertaining to earlier years amounting to Rs. 3 lakhs as deduction. The same was disallowed on account of prior period expenses. F...