alleryStart learning →A trader bribes an official to win a contract. Is the bribe deductible?
AYes, up to ten percent
BYes, if wholly for business
CYes, if disclosed in books
DNo, it is an offence
Answer & Solution
Correct answer: D. No, it is an offence
Explanation 1 to section 37 denies a deduction for expenditure incurred for a purpose that is an offence or prohibited by law.
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