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2020 (10) TMI 1082 - AT - Income TaxProvisions for future expenses disallowed - AO was of the opinion that such type of contingent liabilities were not deductible - HELD THAT:- Nature of provisions considered by this Tribunal in preceding years are not similar to future claim provided for by assessee during the year under consideration - assessee submitted details of work, which was to be incurred by assessee in preceding year against which, provision was made. Also that before this Tribunal assessee demonstrated that, the provisions were subsequently debited at the end of the year as the expenditure had been incurred by assessee in respect of the same. In the interest of Justice, we remand the issue to Ld.AO to verify the submissions of assessee in light of the contract entered into with BMRCL. Assessee is directed to furnish all requisite details in support of its claim. Ld.AO is then directed to consider the claim of assessee in accordance with law. Grounds raised by revenue stands allowed for statistical purposes
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