Hi
This is regarding the contribution given to legal heirs of the employee who died suddenly due to choke of vent pipe. It would not fall under accident death. The employee has joined just 2 month back in our office therefore was not eligible for Gratuity etc.
But the company wish to donate/contribute some amount to the family member of the deceased employee.
The query is
Will this expense would be treated as Business Expenditure for the company u/s 37 of the Income Tax Act, 1961?
I found some case on these, link below
https://law.incometaxindia.gov.in/DitTaxmann/IncomeTaxActs/2009ITAct/%5B1999%5D239ITR0429(Mad).htm
The payment would be made irrespecitve of the tax treatment but would like to know the correct treatment.
If possible give some citation or judgement on this .
Many Thanks
Regards
Ramesh