https://www.taxtmi.com/caselaws?id=65319 An arbitral award does not create an allowable deduction merely on being passed when the liability is disputed and the award is still under challenge; for accrual purposes, the obligation crystallises only when the award is made the rule of the court and becomes enforceable. The article also notes that deletion of interest was incorrect where the assessment order had in fact charged interest under section 234B, and the contrary appellate relief rested on a clerical misunderstanding. The ratio emphasises that a quantified but contested contractual liability is not deductible until judicial confirmation fixes enforceability. en-us Fri, 25 Nov 2005 00:00:00 +0530 Mon, 14 Feb 2011 18:43:42 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=65319 An arbitral award does not create an allowable deduction merely on being passed when the liability is disputed and the award is still under challenge; for accrual purposes, the obligation crystallises only when the award is made the rule of the court and becomes enforceable. The article also notes that deletion of interest was incorrect where the assessment order had in fact charged interest under section 234B, and the contrary appellate relief rested on a clerical misunderstanding. The ratio emphasises that a quantified but contested contractual liability is not deductible until judicial confirmation fixes enforceability. Case-Laws Income Tax Fri, 25 Nov 2005 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=65319