LAWS(GJH)-2012-3-537

COMMISSIONER OF INCOME TAX Vs. GEM ART

Decided On March 13, 2012
COMMISSIONER OF INCOME TAX Appellant
V/S
Gem Art Respondents

JUDGEMENT

(1.) This appeal under Section 260A of the Income Tax Act is at the instance of the Revenue and is directed against order dated March 6, 2009 passed by the Income Tax Appellate Tribunal, Ahmedabad Bench 'D' in ITA No. 1722/Ahd/2008 by which the Tribunal dismissed the appeal preferred by the Revenue. Being dissatisfied, the Revenue has come up with the present appeal.

(2.) The only point raised by the Revenue in this appeal is whether the Tribunal below committed substantial error of law in holding the premium paid for the partners under the Keyman Insurance Policy was a revenue expenditure deductible under Section 37 of the Income Tax Act.

(3.) In order to appreciate the aforesaid question, it would be profitable to refer to the provisions contained in Section 10(10D) of the Act, which are quoted below :-