Exp allowability

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nitin suvarna (Querist)
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15 April 2013 hi , whether expenditure incurred by firm for promotion of family planning is allowed ??any case law for the same......... thx in advance

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CA Ankit Oberoi

CA Ankit Oberoi (Expert)
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15 April 2013 No, it is not allowed. Deduction shall be allowed for promoting family planning amongst employees will be only to company assessee u/s 36(1)

C A S.S.Agarwal, M.Com.,LL.B,

C A S.S.Agarwal, M.Com.,LL.B, (Expert)
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28 May 2013 Yes it is allowable and respective portion of the section is reproduced below:

Section 36. OTHER DEDUCTIONS.

(1) The deductions provided for in the following clauses shall be allowed in respect of the matters dealt with therein, in computing the income referred to in section 28 - (i) The amount of any premium paid in respect of insurance against risk of damage or destruction of stocks or stores used for the purposes of the business or profession;

(ix) Any expenditure bona fide incurred by a company for the purpose of promoting family planning amongst its employees :

Provided that where such expenditure or any part thereof is of a capital nature, one-fifth of such expenditure shall be deducted for the previous year in which it was incurred; and the balance thereof shall be deducted in equal instalments for each of the four immediately succeeding previous years :

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