Gram panchayat tax

First you have to see the provision of sec 37(1), which says that related expense incurred entirally for business purpose. Here it has been paid for business premises... If yes then it will be covered under the head of rates and taxes. And then sec. 43(B) will have to be gone through since it mondates the assessee to pay the expense in the year itself, in which the assessee wants to claim as an expense...