Commissioner of Income Tax v. Chemical Constructions

243 ITR 858High Court2000#10397 most cited

What is Commissioner of Income Tax v. Chemical Constructions authority for?

Only the compensatory part of a penalty paid is allowable as a business expenditure under section 37(1) of the Income Tax Act; the penal part is not deductible.

10

judgments rely on this decision, according to BharatTax’s citation analysis of 366,005 Indian tax judgments — from 2013 to 2021.

Also referred to as

Commissioner of Income Tax v. Chemical Constructions · section 37(1) · business expenditure · penalty · compensatory element · penal element · disallowance of expenditure · income tax act

Judgments citing Commissioner of Income Tax v. Chemical Constructions

M/S.Ptl Enterprises Ltd. (Formerly Premier Tyres Ltd) vs. The Assistnat Commissioner of Income Tax, Circle-2(1), Range-2, Ernakulam

ITA/207/2013HC Kerala22 Jul 2021

Bench: HONOURABLE MR.JUSTICE S.V.BHATTI,HONOURABLE MR. JUSTICE BECHU KURIAN THOMAS

For Appellant: THE DEPUTY COMMISSIONER OF INCOME TAXFor Respondent: M/S.PTL ENTERPRISES LTD

…penditure and affirmed the order of the assessing officer disallowing the said payment from being deducted as an expenditure. 20. It is not in dispute, as held in the decision in Commissioner of Income Tax v. Chemical Constructions [(2000) 243 ITR 858 (Mad.)] and in Malwa Vanaspati & Chemical Co. v. Commissioner of Income Tax [(1997) 225 ITR 383 (SC)] that when penalty is paid, comprising of elements of compensation and penalty, only that part of the penalty which is compensatory, is allowable as an expenditure under section 37(1) of the Act. I.T.A. No.193/12 & Conn. Cases -:20:- 21. There…

M/S.Ptl Enterprises Ltd vs. The Deputy Commissioner of Income-Tax

ITA/185/2013HC Kerala22 Jul 2021

Bench: HONOURABLE MR.JUSTICE S.V.BHATTI,HONOURABLE MR. JUSTICE BECHU KURIAN THOMAS

For Appellant: THE DEPUTY COMMISSIONER OF INCOME TAXFor Respondent: M/S.PTL ENTERPRISES LTD

…penditure and affirmed the order of the assessing officer disallowing the said payment from being deducted as an expenditure. 20. It is not in dispute, as held in the decision in Commissioner of Income Tax v. Chemical Constructions [(2000) 243 ITR 858 (Mad.)] and in Malwa Vanaspati & Chemical Co. v. Commissioner of Income Tax [(1997) 225 ITR 383 (SC)] that when penalty is paid, comprising of elements of compensation and penalty, only that part of the penalty which is compensatory, is allowable as an expenditure under section 37(1) of the Act. I.T.A. No.193/12 & Conn. Cases -:20:- 21. There…

Ptl Enterprises Ltd vs. The Deputy Commissoner of Income Tx

ITA/206/2013HC Kerala22 Jul 2021

Bench: HONOURABLE MR.JUSTICE S.V.BHATTI,HONOURABLE MR. JUSTICE BECHU KURIAN THOMAS

For Appellant: THE DEPUTY COMMISSIONER OF INCOME TAXFor Respondent: M/S.PTL ENTERPRISES LTD

…penditure and affirmed the order of the assessing officer disallowing the said payment from being deducted as an expenditure. 20. It is not in dispute, as held in the decision in Commissioner of Income Tax v. Chemical Constructions [(2000) 243 ITR 858 (Mad.)] and in Malwa Vanaspati & Chemical Co. v. Commissioner of Income Tax [(1997) 225 ITR 383 (SC)] that when penalty is paid, comprising of elements of compensation and penalty, only that part of the penalty which is compensatory, is allowable as an expenditure under section 37(1) of the Act. I.T.A. No.193/12 & Conn. Cases -:20:- 21. There…

Ptl Enterprises Ltd vs. The Deputy Commissioner of Income Tax

ITA/227/2013HC Kerala22 Jul 2021

Bench: HONOURABLE MR.JUSTICE S.V.BHATTI,HONOURABLE MR. JUSTICE BECHU KURIAN THOMAS

For Appellant: THE DEPUTY COMMISSIONER OF INCOME TAXFor Respondent: M/S.PTL ENTERPRISES LTD

…penditure and affirmed the order of the assessing officer disallowing the said payment from being deducted as an expenditure. 20. It is not in dispute, as held in the decision in Commissioner of Income Tax v. Chemical Constructions [(2000) 243 ITR 858 (Mad.)] and in Malwa Vanaspati & Chemical Co. v. Commissioner of Income Tax [(1997) 225 ITR 383 (SC)] that when penalty is paid, comprising of elements of compensation and penalty, only that part of the penalty which is compensatory, is allowable as an expenditure under section 37(1) of the Act. I.T.A. No.193/12 & Conn. Cases -:20:- 21. There…

Ptl Enterprises Ltd vs. The Deputy Commissioner of Income-Tax

ITA/200/2013HC Kerala22 Jul 2021

Bench: HONOURABLE MR.JUSTICE S.V.BHATTI,HONOURABLE MR. JUSTICE BECHU KURIAN THOMAS

For Appellant: THE DEPUTY COMMISSIONER OF INCOME TAXFor Respondent: M/S.PTL ENTERPRISES LTD

…penditure and affirmed the order of the assessing officer disallowing the said payment from being deducted as an expenditure. 20. It is not in dispute, as held in the decision in Commissioner of Income Tax v. Chemical Constructions [(2000) 243 ITR 858 (Mad.)] and in Malwa Vanaspati & Chemical Co. v. Commissioner of Income Tax [(1997) 225 ITR 383 (SC)] that when penalty is paid, comprising of elements of compensation and penalty, only that part of the penalty which is compensatory, is allowable as an expenditure under section 37(1) of the Act. I.T.A. No.193/12 & Conn. Cases -:20:- 21. There…

M/S Ptl Enterprises Ltd vs. The Deputy Commissioner of Income-Tax

ITA/92/2014HC Kerala22 Jul 2021

Bench: HONOURABLE MR.JUSTICE S.V.BHATTI,HONOURABLE MR. JUSTICE BECHU KURIAN THOMAS

For Appellant: THE DEPUTY COMMISSIONER OF INCOME TAXFor Respondent: M/S.PTL ENTERPRISES LTD

…penditure and affirmed the order of the assessing officer disallowing the said payment from being deducted as an expenditure. 20. It is not in dispute, as held in the decision in Commissioner of Income Tax v. Chemical Constructions [(2000) 243 ITR 858 (Mad.)] and in Malwa Vanaspati & Chemical Co. v. Commissioner of Income Tax [(1997) 225 ITR 383 (SC)] that when penalty is paid, comprising of elements of compensation and penalty, only that part of the penalty which is compensatory, is allowable as an expenditure under section 37(1) of the Act. I.T.A. No.193/12 & Conn. Cases -:20:- 21. There…

C.I.T. II Jodhpur vs. M/S Jeewan Ram Choudhary

ITA/185/2013HC Rajasthan17 Sept 2019

Bench: SANGEET LODHA,VINIT KUMAR MATHUR

The Commissioner of Income Tax V vs. Smt. Ch. Uma

ITTA/227/2013HC Telangana10 Jul 2013

Commissioner of Income Tax vs. M/s Ch.Veeraju AND co

ITTA/207/2013HC Telangana05 Jul 2013

Commissioner of Income Tax - VI vs. M/s. S.P. Steels

ITTA/200/2013HC Telangana04 Jul 2013
Commissioner of Income Tax v. Chemical Constructions (243 ITR 858) — Cited in 10 Judgments | BharatTax