Suspension of insolvency professional registration prevents continued Resolution Professional appointments and restricts interim stays that effectivel...
Original works exemption for railway contracts depends on actual integrated construction scope, while accessible tax data defeats suppression allegati...
Survey surrender characterisation determines whether mixed excess stock and business-linked cash face normal taxation or special deemed-income taxatio...
Under the mercantile system, an accrued but unpaid obligation to share overflow profit with investors remains deductible where its nature and accrual are undisputed. Lack of funds at the close of the previous year does not by itself make the liability contingent. The obligation arose under the investor arrangement, had neither ceased nor failed to accrue, and was outside payment-based liabilities governed by section 43B. Its subsequent discharge further supported the conclusion that it was not contingent. Accordingly, disallowance of the accrued outstanding liability was unsustainable.
Under the mercantile system, an accrued but unpaid obligation to share overflow profit with investors remains deductible where its nature and accrual are undisputed. Lack of funds at the close of the previous year does not by itself make the liability contingent. The obligation arose under the investor arrangement, had neither ceased nor failed to accrue, and was outside payment-based liabilities governed by section 43B. Its subsequent discharge further supported the conclusion that it was not contingent. Accordingly, disallowance of the accrued outstanding liability was unsustainable.
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
TaxTMI 
of 4915 
