ORDER CASE The appellant filed his return for the year 1990-91, in which the amount of Rs. 4,22,107/- was claimed towards the expenses on account of the secret commission/speedy money; this was not accepted by the Assessing Authority and out of the above, an amount of Rs. 4,00,000/- was added to the income of the assessee by the Assessing Officer; first and second appeals of the appellant have also failed. Though there are number of questions formulated in the appeal, but the only question raised before the Court today is, that whether the amount allegedly paid by the appellant, for the purpose of procuring certain contracts or for the promotion of its business, even as illegal gratification, which, the assessee terms as speedy money or secret commission, is permissible expenses, which could be excluded/deducted from the income.
2. Leamed counsel for the appellant by making reference to Section 23(1)(xviii), has argued that any amount, which an assessee spent for the purpose of promotion of his business or profession is an expenditure deductible.
3. We are afraid, that it is such an expenditure, which can be lawfully expended by the assessee, that has to be excluded out of his income, but this does not include the illegal gratification given by the assessee to some one for procuring the contracts or for the promotion of its business or the profession, that too by dubious and illegal means, for which, neither there is any record nor the receipt. There is no concept recognized in law, as secret commission of speedy money, which can be allowed and counted towards the expenses of the assessee, therefore, the question posed in .
Reference is accordingly decided Tribunal the appellant. Dismissed.