https://www.taxtmi.com/caselaws?id=67981 Amounts deposited as development charges with the Urban Improvement Trust were deductible under mercantile accounting because the liability to incur those charges had accrued in the relevant assessment years. For a dealer in landed property, expenditure necessary to develop plots and make them saleable is an allowable business deduction when the obligation attaches, even if some spending occurs later and any excess deposit may be adjusted or refunded. The deduction claimed for each year was therefore upheld, and the Revenue's challenge failed. en-us Wed, 18 Nov 1987 00:00:00 +0530 Wed, 16 Mar 2011 12:02:02 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=67981 Amounts deposited as development charges with the Urban Improvement Trust were deductible under mercantile accounting because the liability to incur those charges had accrued in the relevant assessment years. For a dealer in landed property, expenditure necessary to develop plots and make them saleable is an allowable business deduction when the obligation attaches, even if some spending occurs later and any excess deposit may be adjusted or refunded. The deduction claimed for each year was therefore upheld, and the Revenue's challenge failed. Case-Laws Income Tax Wed, 18 Nov 1987 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=67981