https://www.taxtmi.com/article/detailed?id=1975 Allowability of prior period expenses hinges on whether payments correspond to liabilities attributable to the year under the mercantile system of accounting. Petty employee travel reimbursements, where bills are submitted and expenses are genuine and business-related, are treated as business expenditure when paid; advertising agency charges require fact-specific inquiry into whether services and billings pertain to earlier years or to the assessment year, with accrual recognition and bill submission timing determinative. en-us Fri, 21 Dec 2012 08:00:46 +0530 Fri, 21 Dec 2012 08:00:46 +0530 TaxTMI RSS Generator https://www.taxtmi.com/article/detailed?id=1975 Allowability of prior period expenses hinges on whether payments correspond to liabilities attributable to the year under the mercantile system of accounting. Petty employee travel reimbursements, where bills are submitted and expenses are genuine and business-related, are treated as business expenditure when paid; advertising agency charges require fact-specific inquiry into whether services and billings pertain to earlier years or to the assessment year, with accrual recognition and bill submission timing determinative. Articles Income Tax Fri, 21 Dec 2012 08:00:46 +0530 https://www.taxtmi.com/article/detailed?id=1975