https://www.taxtmi.com/caselaws?id=243378 Income-tax authorities cannot deny a business loss or its set-off by enforcing compliance with a separate regulatory statute where the underlying activity is not per se unlawful. The court held that questions under the Income-tax Act are confined to whether an item is income or loss, and the Assessing Officer could not disallow the cement division loss on the basis of an alleged contravention of the RBI regime. Since the relevant licence had been granted and the RBI was the sole regulator for that activity, the loss remained allowable and the Tribunal's acceptance of set-off was upheld. en-us Fri, 03 Jan 2014 00:00:00 +0530 Fri, 31 Jan 2014 13:45:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=243378 Income-tax authorities cannot deny a business loss or its set-off by enforcing compliance with a separate regulatory statute where the underlying activity is not per se unlawful. The court held that questions under the Income-tax Act are confined to whether an item is income or loss, and the Assessing Officer could not disallow the cement division loss on the basis of an alleged contravention of the RBI regime. Since the relevant licence had been granted and the RBI was the sole regulator for that activity, the loss remained allowable and the Tribunal's acceptance of set-off was upheld. Case-Laws Income Tax Fri, 03 Jan 2014 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=243378