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<h1>Assessee's Excise Duty Liability Upheld Under Mercantile Accounting System</h1> The High Court of Madras held that the assessee followed the mercantile system of accounting, and the liability to excise duty accrued during the relevant ... Appeal To Supreme Court, Certificate of Fitness, Business Expenditure The High Court of Madras held that the assessee followed the mercantile system of accounting and that the liability to excise duty accrued during the relevant previous year. The court dismissed the petition and awarded the assessee costs of Rs. 500.