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2018 (2) TMI 2011 - HC - Income TaxDisallowance of marked to market loss - Whether such losses are notional loss of contingent nature and hence not allowable as per the provisions of Section 37 [1] - expenditure on account of Foreign Exchange fluctuation - ITAT deleted disallowance - HELD THAT:- Assessing Officer as well as CIT [A] were of the opinion that though such expenditure was allowable, the same could be booked only on the basis of actual and not notional basis. The Tribunal by impugned judgment reversed decisions, relying on judgment of Woodward Governor India Private Limited, [2009 (4) TMI 4 - SUPREME COURT]. The Tribunal, in particular, noted that the Assessing Officer had taxed the gains arising out of foreign exchange fluctuations on similar basis, however, when it came to the loss and adopted a different standard. - Decided against revenue.
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