What is Indian Molasses Co. Pvt. Ltd. v. CIT authority for?

Expenditure is defined as money paid out or away, which is gone irretrievably. To be deductible under Section 37(1), expenditure must be wholly and exclusively for business, not capital or personal, and not fall under specific provisions of Sections 30 to 36, often justifiable on grounds of commercial expediency.

How many judgments cite Indian Molasses Co. Pvt. Ltd. v. CIT?

206 judgments on BharatTax cite Indian Molasses Co. Pvt. Ltd. v. CIT (37 ITR 66), spanning 2007 to 2026.

Which sections of the Income Tax Act does Indian Molasses Co. Pvt. Ltd. v. CIT come up under?

It is most often cited in judgments turning on Section 142(1), Section 143(2), Section 143(3), Section 234B, Section 234C, Section 11.

Indian Molasses Co. Pvt. Ltd. v. CIT (37 ITR 66)

Rm.K.V.Silks Private Limited, Tirunelveli vs. DCIT Circle 1, Tirunelveli

In the result, appeal filed by the Revenue in ITA No

ITA 1593/CHNY/2017[2013-14]Status: DisposedITAT Chennai30 Apr 2018AY 2013-14

Bench: Shri Inturi Rama Rao & Shri Duvvuru Rl Reddyq आयकर अपील सं./Ita No.1621/Chny/2017 "नधा"रण वष" /Assessment Year: 2012-13 Dy. Commissioner Of Income Tax, M/S. Rmkv Silks Pvt. Ltd., Circle-1, Vs. 176F, Trivandrum Road, Tirunelveli. Tirunelveli – 627 003. [Pan: Aafcr 4024B] आयकर अपील सं./Ita No.1593/Chny/2017 & Cross Appeal By Revenue In Ita No.1622/Chny/2017 "नधा"रण वष" /Assessment Year: 2013-14 M/S. Rmkv Silks Pvt. Ltd., Vs. Dy. Commissioner Of Income 176F, Trivandrum Road, Tax, Tirunelveli – 627 003. Circle-1, Tirunelveli. [Pan: Aafcr 4024B] आयकर अपील सं./Ita No.613/Chny/2018 Cross Appeal By Revenue In Ita No.759/Chny/2018 "नधा"रण वष" /Assessment Year: 2014-15 M/S. Rmkv Silks Pvt. Ltd., Vs. Asst. Commissioner Of Income 176F, Trivandrum Road, Tax, Tirunelveli – 627 003. Circle-1, [Pan: Aafcr 4024B] Tirunelveli.

Section 47

…ssee against the High Court’s ruling was dismissed by the Hon’ble S.C (2016) 72taxmann.com334(SC) and also failed to consider the decision of Hon’ble S.C in the cases of Shree Sajjan Mills Ltd Vs CIT(sc) 156 ITR 585 and Indian Molasses Co. (P) Ltd Vs CIT (Sc) 37 ITR 66 wherein it was held that expenditure which is deductible for income-tax purposes is towards a liability actually existing at the time but setting apart money which might become expenditure on the happening of an event is not expenditure. 5.1 The CIT(A) failed to consider the fact that the assessee incurred the expenditure of Rs.6,49,09,981/- toward…

M/S Karnataka Vidyuth Kharkane Ltd vs. DCIT

In the result, the appeal filed by the assessee is dismissed

ITA 1581/BANG/2013[2010-11]Status: DisposedITAT Bangalore11 Apr 2018AY 2010-11

Bench: Shri N.V. Vasudevan & Shri Arun Kumar Garodiaassessment Year :2010-11

For Appellant: Smt. Sheetal Borkar, AdvocateFor Respondent: Shri B.R. Ramesh, JCIT (DR)

Section 234BSection 37

…(1998) 229 ITR 209(Bom) As to the alternate submission of the assessee to treat the amount so set apart as a business expenditure, evidently the assessee had not incurred any expenditure at all. The Supreme Court in Indian molasses co. (P.) Ltd. v. CIT [1959] 37 ITR 66 has defined 'expenditure' as what is 'paid out or away' and something which is gone irretrievably. That was not so in case of appropriation of profits to the Share Capital Redemption Fund. By such appropriation nothing had been paid out to anybody nor anything had gone from the assessee even for a while not to speak of `irretrievably'. That being s…

The New India Assurance Company Ltd, Mumbai vs. DCIT (OSD) 1(2), Mumbai

In the result, appeal filed by the assessee is partly allowed and the appeal filed by the Revenue is dismissed

ITA 5090/MUM/2015[2010-11]Status: DisposedITAT Mumbai28 Mar 2018AY 2010-11

Bench: Shri Joginder Singh & Shri Rajesh Kumarassessment Year: 2010-11

For Appellant: Shri Farrokh V. Irani, A.RFor Respondent: Shri Narendra Singh Janpan, D.R

Section 69B

…we are of the view that the amortization claim cannot be considered as 'an expenditure or allowance within the meaning of rule 5(a) of the First Schedule. As held by the Supreme Court in the case 01 Indian Molasses Co. (Private) Ltd. vs CIT, West Bengal (1959)37 ITR 66:(SC), spending in the sense paying out or away of money is the primary meaning of expenditure. Expenditure is what is paid our or away and is something which is gone irretrievably Expenditure, which is deductible for income tax, is one which is towards a liability actually existing at the time, but the putting aside of money which may become expend…

Larsen & Toubro Ltd, Mumbai vs. Asst CIT Cir 2(2), Mumbai

In the result, the appeal filed by the Revenue is dismissed

ITA 6257/MUM/2011[1999-00]Status: DisposedITAT Mumbai28 Mar 2018AY 1999-00

Bench: Shri Mahavir Singh () & Shri N.K. Pradhan () Assessment Year: 1999-00 Larsen & Toubro Ltd. Dcit-2(2) Taxation Department L&T Room No. 577, 5Th Vs. House, N.M. Ballard Estate, Floor, Aayakar Mumbai-400001 Bhavan, M.K. Road Mumbai-400020. Pan No. Aaacl0140P Appellant Respondent Assessment Year: 1999-00 Dcit-2(2) Larsen & Toubro Ltd. Room No. 577, 5Th Floor, Taxation Department Vs. Aayakar Bhavan, M.K. L&T House, N.M. Road Ballard Estate, Mumbai-400020. Mumbai-400001 Pan No. Aaacl0140P Appellant Respondent Assessee By : Mr. J.D. Mistry & Mr. Madhur Agarwal, Ar Revenue By : Mr. Anadi Varma, Cit-Dr Date Of Hearing : 14/02/2018 Date Of Pronouncement : 28/03/2018

For Appellant: Mr. J.D. Mistry &For Respondent: Mr. Anadi Varma, CIT-DR

Section 143(3)Section 145A

…IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCH “A” MUMBAI BEFORE SHRI MAHAVIR SINGH (JUDICIAL MEMBER) AND SHRI N.K. PRADHAN (ACCOUNTANT MEMBER) Assessment Year: 1999-00 Larsen & Toubro Ltd. DCIT-2(2) Taxation Department L&T Room No. 577, 5th Vs. House, N.M. Ballard Estate, floor, Aayakar Mumbai-400001 Bhavan, M.K. Road Mumbai-400020. PAN No. AAACL0140P Appellant Respondent Assessment Year: 1999-00 DCIT-2(2) Larsen & Toubro Ltd. Room No. 577, 5th floor, Taxation Department Vs. Aayakar Bhavan, M.K. L&T House, N.M. Road Ballard Estate, Mumbai-400020. Mumbai-400001 PAN No. AAACL0140P Appellant Respondent Asse…

DCIT 3(2)(2), Mumbai vs. The New India Assurance Co.Ltd, Mumbai

In the result, appeal filed by the assessee is partly allowed and the appeal filed by the Revenue is dismissed

ITA 5013/MUM/2015[2010-11]Status: DisposedITAT Mumbai28 Mar 2018AY 2010-11

Bench: Shri Joginder Singh & Shri Rajesh Kumarassessment Year: 2010-11

For Appellant: Shri Farrokh V. Irani, A.RFor Respondent: Shri Narendra Singh Janpan, D.R

Section 69B

…we are of the view that the amortization claim cannot be considered as 'an expenditure or allowance within the meaning of rule 5(a) of the First Schedule. As held by the Supreme Court in the case 01 Indian Molasses Co. (Private) Ltd. vs CIT, West Bengal (1959)37 ITR 66:(SC), spending in the sense paying out or away of money is the primary meaning of expenditure. Expenditure is what is paid our or away and is something which is gone irretrievably Expenditure, which is deductible for income tax, is one which is towards a liability actually existing at the time, but the putting aside of money which may become expend…

Sunyna Kumar Gupta, Patna vs. DCIT, Circle-4, Patna

In the result, the appeal of the assessee is allowed

ITA 90/PAT/2017[2012-13]Status: DisposedITAT Patna16 Mar 2018AY 2012-13

Bench: Sh. N. K. Sainiita No. 90/Pat./2017 : Asstt. Year : 2012-13 Sunyna Kumari Gupta, Vs Deputy Commissioner Of Income Prop: M/S Sona Drug Agency, Tax, Circle-4, Road No. 1, Lohanipur, Rajendra Patna Nagar, Patna-800016 (Appellant) (Respondent) Pan No. Addpg6521C Assessee By : Sh. K. N. Prasad, Adv. Revenue By : Sh. Abhay Kumar, Sr. Dr Date Of Hearing : 13.03.2018 Date Of Pronouncement :16 .03.2018 Order This Is An Appeal By The Assessee Against The Order Dated 09.02.2017 Of Ld. Cit(A)-2, Patna.

For Appellant: Sh. K. N. Prasad, AdvFor Respondent: Sh. Abhay Kumar, Sr. DR

Section 234ASection 234BSection 234D

…s treated as contingent liability.” 8. The AO made the addition of the aforesaid amount to the income of the assessee. The reliance was placed on the following case laws:  Shree Sajjan Mills Ltd. Vs CIT 156 ITR 585 (SC)  Indian Molasses Co. (P) Ltd. Vs CIT 371 ITR 66 (SC)  Rajasthan State Mines and Minerals Ltd. Vs CIT 208 ITR 1010 (Raj.)  T.N. Small Industries Dev. Corpn. Vs CIT 242 ITR 122 (Mad.) 9. Being aggrieved the assessee carried the matter to the ld. CIT(A) and furnished the written submissions which is reproduced verbatim as under: “a. That during the course of the assessment proceeding, the asses…

DCIT Cir. 7(3)(2), Mumbai vs. People Interactive (I) Pvt. Ltd., Mumbai

ITA 5132/MUM/2016[2010-11]Status: DisposedITAT Mumbai21 Feb 2018AY 2010-11

Bench: Sh. R. C. Sharma, Am & Sh. Sandeep Gosain, Jm आयकरअपीलसं./ I.T.A. No. 5132 & 5133/Mum/2016 (निर्धारणवर्ा / Assessment Year: 2010-11 &2011-12)

For Appellant: Shri M. C. OmiFor Respondent: ShriR. S. Samria, AR

Section 143(1)Section 143(3)

…he assessee incurs any expenditure, which thereafter satisfies the requisite conditions of the sub-section (1). He submitted that the word "expenditure" has been described by the Hon'ble Supreme Court in the case of Indian Molasses Co. (P.) Ltd. v. CIT [1959] 37 ITR 66 as denoting spending or paying out,i.e. something going out of the coffers of the assessee. It was put 12 People Interactive India Private Limited ITA Nos. 6990,6986,4979/ Mum/ 2013 Assessment Years : 2007-08,2008-09,2009-10 forth that by issuing shares at discounted premium, nothing is paid out by the company. Once there is no "paying out or away"…

ACIT, Circle-4(1), Visakhapatnam vs. Sri Varalakshmi Jute Twine Mills Pvt. Ltd, Rajam

In the result, appeals filed by the Revenue in ITA

ITA 458/VIZ/2017[2013-2014]Status: DisposedITAT Visakhapatnam09 Feb 2018AY 2013-2014

Bench: Shri V. Durga Rao, Hon’Ble & Shri D.S. Sunder Singh, Hon’Bledcit, Circle-4(1), Vs. M/S. Sri Varalakshmi Jute Visakhapatnam. Twine Mills Pvt. Ltd., Bobbili Road, Rajam (Po), Srikakulam District. Pan No. Aadcs 1167 L Sri Varalakshmi Jute Twine Vs. Ito, Ward-3, Mills Pvt. Ltd., Bobbili Road, Srikakulam. Rajam (Po), Srikakulam Dist. Pan No. Aadcs 1167 L Acit, Circle-4(1), Vs. M/S. Sri Varalakshmi Jute Visakhapatnam. Twine Mills Pvt. Ltd., Bobbili Road, Rajam (Po), Srikakulam District. Pan No. Aadcs 1167 L Sri Varalakshmi Jute Twine Vs. Dcit, Circle-4(1), Mills Pvt. Ltd., Bobbili Road, Visakhapatnam. Rajam (Po), Srikakulam Dist. Pan No. Aadcs 1167 L (Appellants) (Respondents)

For Appellant: Shri Yogesh A. Thar &For Respondent: Shri T. Satyanandam – Sr.DR

Section 143(1)Section 143(3)

…IN THE INCOME TAX APPELLATE TRIBUNAL VISAKHAPATNAM BENCH, VISAKHAPATNAM BEFORE SHRI V. DURGA RAO, HON’BLE JUDICIAL MEMBER & SHRI D.S. SUNDER SINGH, HON’BLE ACCOUNTANT MEMBER DCIT, Circle-4(1), vs. M/s. Sri Varalakshmi Jute Visakhapatnam. Twine Mills Pvt. Ltd., Bobbili Road, Rajam (PO), Srikakulam District. PAN No. AADCS 1167 L Sri Varalakshmi Jute Twine vs. ITO, Ward-3, Mills Pvt. Ltd., Bobbili Road, Srikakulam. Rajam (PO), Srikakulam Dist. PAN No. AADCS 1167 L ACIT, Circle-4(1), vs. M/s. Sri Varalakshmi Jute Visakhapatnam. Twine Mills Pvt. Ltd., Bobbili Road, Rajam (PO), Srikakulam District. PAN No. AADCS 1167…

Sri Varalakshmi Jute Twine Mills Private Limited, Rajam vs. DCIT, Circle-4(1), Visakhapatnam

In the result, appeals filed by the Revenue in ITA

ITA 404/VIZ/2017[2013-2014]Status: DisposedITAT Visakhapatnam09 Feb 2018AY 2013-2014

Bench: Shri V. Durga Rao, Hon’Ble & Shri D.S. Sunder Singh, Hon’Bledcit, Circle-4(1), Vs. M/S. Sri Varalakshmi Jute Visakhapatnam. Twine Mills Pvt. Ltd., Bobbili Road, Rajam (Po), Srikakulam District. Pan No. Aadcs 1167 L Sri Varalakshmi Jute Twine Vs. Ito, Ward-3, Mills Pvt. Ltd., Bobbili Road, Srikakulam. Rajam (Po), Srikakulam Dist. Pan No. Aadcs 1167 L Acit, Circle-4(1), Vs. M/S. Sri Varalakshmi Jute Visakhapatnam. Twine Mills Pvt. Ltd., Bobbili Road, Rajam (Po), Srikakulam District. Pan No. Aadcs 1167 L Sri Varalakshmi Jute Twine Vs. Dcit, Circle-4(1), Mills Pvt. Ltd., Bobbili Road, Visakhapatnam. Rajam (Po), Srikakulam Dist. Pan No. Aadcs 1167 L (Appellants) (Respondents)

For Appellant: Shri Yogesh A. Thar &For Respondent: Shri T. Satyanandam – Sr.DR

Section 143(1)Section 143(3)

…IN THE INCOME TAX APPELLATE TRIBUNAL VISAKHAPATNAM BENCH, VISAKHAPATNAM BEFORE SHRI V. DURGA RAO, HON’BLE JUDICIAL MEMBER & SHRI D.S. SUNDER SINGH, HON’BLE ACCOUNTANT MEMBER DCIT, Circle-4(1), vs. M/s. Sri Varalakshmi Jute Visakhapatnam. Twine Mills Pvt. Ltd., Bobbili Road, Rajam (PO), Srikakulam District. PAN No. AADCS 1167 L Sri Varalakshmi Jute Twine vs. ITO, Ward-3, Mills Pvt. Ltd., Bobbili Road, Srikakulam. Rajam (PO), Srikakulam Dist. PAN No. AADCS 1167 L ACIT, Circle-4(1), vs. M/s. Sri Varalakshmi Jute Visakhapatnam. Twine Mills Pvt. Ltd., Bobbili Road, Rajam (PO), Srikakulam District. PAN No. AADCS 1167…

Sri Varalakshmi Jute Twine Mills Pvt. Ltd., Rajam vs. The ITO, Srikakulam

In the result, appeals filed by the Revenue in ITA

ITA 349/VIZ/2016[2012-2013]Status: DisposedITAT Visakhapatnam09 Feb 2018AY 2012-2013

Bench: Shri V. Durga Rao, Hon’Ble & Shri D.S. Sunder Singh, Hon’Bledcit, Circle-4(1), Vs. M/S. Sri Varalakshmi Jute Visakhapatnam. Twine Mills Pvt. Ltd., Bobbili Road, Rajam (Po), Srikakulam District. Pan No. Aadcs 1167 L Sri Varalakshmi Jute Twine Vs. Ito, Ward-3, Mills Pvt. Ltd., Bobbili Road, Srikakulam. Rajam (Po), Srikakulam Dist. Pan No. Aadcs 1167 L Acit, Circle-4(1), Vs. M/S. Sri Varalakshmi Jute Visakhapatnam. Twine Mills Pvt. Ltd., Bobbili Road, Rajam (Po), Srikakulam District. Pan No. Aadcs 1167 L Sri Varalakshmi Jute Twine Vs. Dcit, Circle-4(1), Mills Pvt. Ltd., Bobbili Road, Visakhapatnam. Rajam (Po), Srikakulam Dist. Pan No. Aadcs 1167 L (Appellants) (Respondents)

For Appellant: Shri Yogesh A. Thar &For Respondent: Shri T. Satyanandam – Sr.DR

Section 143(1)Section 143(3)

…IN THE INCOME TAX APPELLATE TRIBUNAL VISAKHAPATNAM BENCH, VISAKHAPATNAM BEFORE SHRI V. DURGA RAO, HON’BLE JUDICIAL MEMBER & SHRI D.S. SUNDER SINGH, HON’BLE ACCOUNTANT MEMBER DCIT, Circle-4(1), vs. M/s. Sri Varalakshmi Jute Visakhapatnam. Twine Mills Pvt. Ltd., Bobbili Road, Rajam (PO), Srikakulam District. PAN No. AADCS 1167 L Sri Varalakshmi Jute Twine vs. ITO, Ward-3, Mills Pvt. Ltd., Bobbili Road, Srikakulam. Rajam (PO), Srikakulam Dist. PAN No. AADCS 1167 L ACIT, Circle-4(1), vs. M/s. Sri Varalakshmi Jute Visakhapatnam. Twine Mills Pvt. Ltd., Bobbili Road, Rajam (PO), Srikakulam District. PAN No. AADCS 1167…

The DCIT, Visakhapatnam vs. Sri Varalakshmi Jute Mills Pvt Ltd, Srikakulam

In the result, appeals filed by the Revenue in ITA

ITA 340/VIZ/2016[2012-2013]Status: DisposedITAT Visakhapatnam09 Feb 2018AY 2012-2013

Bench: Shri V. Durga Rao, Hon’Ble & Shri D.S. Sunder Singh, Hon’Bledcit, Circle-4(1), Vs. M/S. Sri Varalakshmi Jute Visakhapatnam. Twine Mills Pvt. Ltd., Bobbili Road, Rajam (Po), Srikakulam District. Pan No. Aadcs 1167 L Sri Varalakshmi Jute Twine Vs. Ito, Ward-3, Mills Pvt. Ltd., Bobbili Road, Srikakulam. Rajam (Po), Srikakulam Dist. Pan No. Aadcs 1167 L Acit, Circle-4(1), Vs. M/S. Sri Varalakshmi Jute Visakhapatnam. Twine Mills Pvt. Ltd., Bobbili Road, Rajam (Po), Srikakulam District. Pan No. Aadcs 1167 L Sri Varalakshmi Jute Twine Vs. Dcit, Circle-4(1), Mills Pvt. Ltd., Bobbili Road, Visakhapatnam. Rajam (Po), Srikakulam Dist. Pan No. Aadcs 1167 L (Appellants) (Respondents)

For Appellant: Shri Yogesh A. Thar &For Respondent: Shri T. Satyanandam – Sr.DR

Section 143(1)Section 143(3)

…IN THE INCOME TAX APPELLATE TRIBUNAL VISAKHAPATNAM BENCH, VISAKHAPATNAM BEFORE SHRI V. DURGA RAO, HON’BLE JUDICIAL MEMBER & SHRI D.S. SUNDER SINGH, HON’BLE ACCOUNTANT MEMBER DCIT, Circle-4(1), vs. M/s. Sri Varalakshmi Jute Visakhapatnam. Twine Mills Pvt. Ltd., Bobbili Road, Rajam (PO), Srikakulam District. PAN No. AADCS 1167 L Sri Varalakshmi Jute Twine vs. ITO, Ward-3, Mills Pvt. Ltd., Bobbili Road, Srikakulam. Rajam (PO), Srikakulam Dist. PAN No. AADCS 1167 L ACIT, Circle-4(1), vs. M/s. Sri Varalakshmi Jute Visakhapatnam. Twine Mills Pvt. Ltd., Bobbili Road, Rajam (PO), Srikakulam District. PAN No. AADCS 1167…

Leo Fasteners, Pondicherry vs. DCIT, Pondicherry Circle, Pondicherry

In the result, both the appeals filed by the assessee stand allowed

ITA 2165/CHNY/2017[2009-10]Status: DisposedITAT Chennai08 Feb 2018AY 2009-10

Bench: Shri N.R.S. Ganesan & Shri S. Jayaramanआयकर अपील सं./Ita Nos.2164 & 2165/Mds/2017 "नधा"रण वष" / Assessment Years : 2013-14 & 2009-10 M/S Leo Fasteners, The Deputy Commissioner Of A-27/A, Industrial Estate, V. Income Tax, Thattanchavady, Pondicherry Circle, Pondicherry – 605 009. Pondicherry. Pan : Aabfl 0652 J (अपीलाथ"/Appellant) (""यथ"/Respondent)

For Appellant: Smt. J. Sree Vidya, AdvocateFor Respondent: Smt. Ruby George, CIT

Section 37(1)

…nt before us was that the word "expenditure" in section 37(1) connotes " what is paid out" and that which has gone irretrievably. In this connection, heavy reliance was placed on the judgment of this court in the case of Indian Molasses Company P. Ltd. [1959] 37 ITR 66. Relying on the said judgment, it was sought to be argued that the increase in liability at any point of time prior to the date of payment cannot be said to have gone irretrievably as it can always come back. According to the learned counsel, in the case of increase in liability due to foreign exchange fluctuations, if there is a revaluation of the…

Leo Fasteners, Pondicherry vs. DCIT, Pondicherry Circle, Pondicherry

In the result, both the appeals filed by the assessee stand allowed

ITA 2164/CHNY/2017[2013-14]Status: DisposedITAT Chennai08 Feb 2018AY 2013-14

Bench: Shri N.R.S. Ganesan & Shri S. Jayaramanआयकर अपील सं./Ita Nos.2164 & 2165/Mds/2017 "नधा"रण वष" / Assessment Years : 2013-14 & 2009-10 M/S Leo Fasteners, The Deputy Commissioner Of A-27/A, Industrial Estate, V. Income Tax, Thattanchavady, Pondicherry Circle, Pondicherry – 605 009. Pondicherry. Pan : Aabfl 0652 J (अपीलाथ"/Appellant) (""यथ"/Respondent)

For Appellant: Smt. J. Sree Vidya, AdvocateFor Respondent: Smt. Ruby George, CIT

Section 37(1)

…nt before us was that the word "expenditure" in section 37(1) connotes " what is paid out" and that which has gone irretrievably. In this connection, heavy reliance was placed on the judgment of this court in the case of Indian Molasses Company P. Ltd. [1959] 37 ITR 66. Relying on the said judgment, it was sought to be argued that the increase in liability at any point of time prior to the date of payment cannot be said to have gone irretrievably as it can always come back. According to the learned counsel, in the case of increase in liability due to foreign exchange fluctuations, if there is a revaluation of the…

State Bank of India, Mumbai vs. ACIT Cir 2(2)

In the result, appeal of the revenue is dismissed

ITA 4736/MUM/2010[1999-2000]Status: DisposedITAT Mumbai31 Jan 2018AY 1999-2000

Bench: Shri G.S. Pannu & Shri Pawan Singhstate Bank Of India Acit Circle (2)(2), Financial Reporting, Compliance & Mumbai. Taxation Department, 19Th Floor, Vs. Corporate Centre, Madam Cama Road, Mumbai-400021. Pan: Aaacs8577K (Appellant) (Respondent) Acit Circle (2)(2), State Bank Of India Mumbai. Financial Reporting, Compliance & Taxation Department, 19Th Floor, Vs. Corporate Centre, Madam Cama Road, Mumbai-400021. Pan: Aaacs8577K (Appellant) (Respondent)

For Respondent: Shri R.P. Meena (CIT-DR)

Section 14ASection 195Section 253Section 254(1)Section 36(1)(viia)Section 40Section 43D

…accounting on the ground of diminished hope of recovery. Furthermore, any liability de futuro is not an ascertained liability in praesenti and cannot be allowed as deduction under the Income-tax Act as held in the case of Indian Molasses Co. Pvt. Ltd. vs. CIT 37 ITR 66 (SC) and Standard Mills Co. Ltd. Vs.CIT Vs.CIT 229 ITR 366(Bom) 366(Bom). Hence, no such ad hoc deduction could be allowed against the amount receivable on redemption of securities which had matured and become due for payment before the close of the accounting year. This ground therefore fails." 39. The findings of the CIT(A) is based the on the va…

ACIT Cir 2(2), Mumbai vs. State Bank of India, Mumbai

In the result, appeal of the revenue is dismissed

ITA 4598/MUM/2010[1999-00]Status: DisposedITAT Mumbai31 Jan 2018AY 1999-00

Bench: Shri G.S. Pannu & Shri Pawan Singhstate Bank Of India Acit Circle (2)(2), Financial Reporting, Compliance & Mumbai. Taxation Department, 19Th Floor, Vs. Corporate Centre, Madam Cama Road, Mumbai-400021. Pan: Aaacs8577K (Appellant) (Respondent) Acit Circle (2)(2), State Bank Of India Mumbai. Financial Reporting, Compliance & Taxation Department, 19Th Floor, Vs. Corporate Centre, Madam Cama Road, Mumbai-400021. Pan: Aaacs8577K (Appellant) (Respondent)

For Respondent: Shri R.P. Meena (CIT-DR)

Section 14ASection 195Section 253Section 254(1)Section 36(1)(viia)Section 40Section 43D

…accounting on the ground of diminished hope of recovery. Furthermore, any liability de futuro is not an ascertained liability in praesenti and cannot be allowed as deduction under the Income-tax Act as held in the case of Indian Molasses Co. Pvt. Ltd. vs. CIT 37 ITR 66 (SC) and Standard Mills Co. Ltd. Vs.CIT Vs.CIT 229 ITR 366(Bom) 366(Bom). Hence, no such ad hoc deduction could be allowed against the amount receivable on redemption of securities which had matured and become due for payment before the close of the accounting year. This ground therefore fails." 39. The findings of the CIT(A) is based the on the va…