COMMISSIONER OF INCOME-TAX, CALCUTTA, NOWST BENGAL III vs IMPERIAL CHEMICAL INDUSTRIES (INDIA) PRIVATE LTD.

The Supreme Court held that under Section 66(1) of the Indian Income-tax Act, 1922, the High Court cannot interfere with the Tribunal's findings of fact unless the specific question is referred to it. The Court ruled that the compensation paid to former selling agents was not deductible as an expenditure since there was no agreement binding the respondent to pay such compensation. The appeal by the revenue was allowed, affirming the Tribunal's decision and rejecting the High Court's contrary ruling.