https://www.taxtmi.com/caselaws?id=207491 HC upheld the Tribunal's decision allowing the assessee's prior period expenses as business expenditure, despite the assessee following the mercantile system. The Tribunal had examined each expense and found they were settled in the relevant year, with over 50% allowable only on actual payment under section 43B(d). The HC noted that the assessee had shown positive income and paid tax in the earlier year, so allowing the expenses in the current year caused no loss of revenue. Finding no perversity or legal error, the HC dismissed the revenue's appeal. en-us Tue, 07 Dec 2010 00:00:00 +0530 Mon, 24 Nov 2025 14:20:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=207491 HC upheld the Tribunal's decision allowing the assessee's prior period expenses as business expenditure, despite the assessee following the mercantile system. The Tribunal had examined each expense and found they were settled in the relevant year, with over 50% allowable only on actual payment under section 43B(d). The HC noted that the assessee had shown positive income and paid tax in the earlier year, so allowing the expenses in the current year caused no loss of revenue. Finding no perversity or legal error, the HC dismissed the revenue's appeal. Case-Laws Income Tax Tue, 07 Dec 2010 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=207491