Sec. 37(1) of the Income-tax Act, 1961—Business expenditure - The main question common in the appeals is regarding commission and brokerage which is paid under section 37 of the Act. The contention of the Revenue is that the existence of the agency agreement, payment to the agent did not prove and establish that the commission paid was an allowable expense under section 37 of the Act. The tribunal has not merely relied on the agreement and the actual payment, but has accepted and agreed that evidence exists to show and establish nature of services actually rendered by various agents at different places throughout India. The order refers to a paper book filed by the assessee in support of his contention that the agents were interacting with the State Road/Municipal Transport Corporation/Undertakings. A factual decision is perverse if the authority has acted without any evidence or on a view of facts cannot be reasonably entertained. A perverse finding is one, if it is arrived at without any material or if it is arrived at or inference is made on material which would not have been accepted or relied upon by any reasonable person. Thus, High Court dismissed the revenue’s appeal. SLP also came to be dismissed as withdrawn on account of low tax effect. - CIT V/s GENUS OVERSEAS ELECTRONICS LTD. - [2020] 272 TAXMAN 022 (SC)