Home Case Index All Cases Income Tax Income Tax + HC Income Tax - 2024 (4) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2024 (4) TMI 317 - BOMBAY HIGH COURTDisallowance of foreign exchange fluctuation loss on sale proceeds held in the EEFC account - ITAT deleted addition as the sale proceeds which were already received by the assessee and the assessee was not under obligation to keep sale proceeds under EEFC account - Revenue submits that the reasoning of the I TAT is improper and that foreign exchange fluctuation should have been ignored when considering profit and loss - HELD THAT:- The issue raised in this appeal stands answered against the Revenue by the decisions of the Hon’ble Supreme Court in the case of Commissioner of Income Tax, Delhi Vs Woodward Governor India (P) Ltd [2009 (4) TMI 4 - SUPREME COURT] wherein as clearly held that whether the loss suffered by the assessee due to fluctuation of foreign exchange as on the date of the balance sheet is in respect of the purchase and sale of goods (payments have to be made/received) is an item of expenditure u/s 37(1) of the Income Tax Act. Thus no substantial question of law arises in this appeal.
|