The Tax Publishers2020 TaxPub(DT) 4665 (Mad-HC)

INCOME TAX ACT, 1961

Section 37(1)

Following the decision held in case of UOI & Ors. v. Exide Industries Limited & Anr. (2020) 107 CCH 0427 ISCC : 2020 TaxPub(DT) 1707 (SC), provision made by assessee towards demand raised by Kerala State Electricity Board towards alleged theft of power, was not an allowable expenditure in terms of Explanation to Section 37(1).

Business expenditure - Allowability - Provision made for demand raised towards alleged theft of power -

Assessee filed appeal against the order of Tribunal holding that the Provision made by assessee towards demand raised by Kerala State Electricity Board towards alleged theft of power, was not an allowable expenditure in terms of Explanation to section 37(1). Held: The issue had to be answered against the assessee following the decision held in case of UOI & Ors. v. Exide Industries Limited & Anr. (2020) 107 CCH 0427 ISCC : 2020 TaxPub(DT) 1707 (SC).

Followed:UOI & Ors. v. Exide Industries Limited & Anr. (2020) 107 CCH 0427 ISCC : 2020 TaxPub(DT) 1707 (SC).

REFERRED :

FAVOUR : Against the assessee.

A.Y. : 2004-05

IN THE MADRAS HIGH COURT

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