Can I Claim Bribe as a Business Expense in ITR Filing?

Can I Claim Bribe as a Business Expense in ITR Filing?

The Allahabad High Court dealt with this case in one of it’s Judgements; The case revolved around the disallowance of certain business expenses claimed by the assessee. Respondent used to supply ayurvedic medicines in hospitals. He challenged the Income Tax Department‘s disallowance of commissions paid to government doctors. The essence of this whole dispute was if such payments, alleged as illegal gratification or bribes, could be considered as legal business expenses under Section 37 of the Income Tax Act, 1961.