Referral commission paid to doctors is not allowable as Business expenditure

Stemade Biotech Private Limited Vs DCIT (ITAT Mumbai) ITAT held that Referral commission paid to doctors in Violation of the professional conduct is Not allowable as Business Expenditure. ITAT held that When an unsuspecting client walks into the consulting chamber of a dentist who advises him to go for stem banking from his dental plump, one cannot be sure whether it is the doctor’s genuine advice on its merits of what the doctor actually believes to be beneficial to the client or it is a piece of advice influenced by the financial inducement by way of „referral fee’ that the do...