ITAT Mumbai Allows Professional Fees & Foreign Branch Expenses u/s 37(1) for Strategic Investments

Asia Investments Pvt. Ltd. Vs ACIT (ITAT Mumbai) Conclusion: Professional fees and foreign branch expenses incurred by a strategic investment company were allowable under Section 37(1) in the absence of any finding that the expenditure was excessive, unreasonable, or non-genuine, and with no distinguishing facts for the year under consideration. Held: AO relying on findings from assessment year (AY) 2011–12, disallowed professional fees of ₹6 crores paid by assessee-company to Deep C Anand Foundation, treating the payment as unwarranted since payments had already been made to Shri Deep C. ...