https://www.taxtmi.com/caselaws?id=252775 Advance against depreciation was treated as an amount received in advance and adjustable against future depreciation, with an obligation attached from inception rather than a reserve created out of profits. On that basis, it was regarded as a timing difference and not taxable as income under the regular provisions of the Income-tax Act. The Supreme Court's characterisation of the amount was applied to the regular assessment as well, and the amount could not be added to the assessee's income in computation under section 143(3). en-us Tue, 30 Sep 2014 00:00:00 +0530 Tue, 04 Nov 2014 06:27:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=252775 Advance against depreciation was treated as an amount received in advance and adjustable against future depreciation, with an obligation attached from inception rather than a reserve created out of profits. On that basis, it was regarded as a timing difference and not taxable as income under the regular provisions of the Income-tax Act. The Supreme Court's characterisation of the amount was applied to the regular assessment as well, and the amount could not be added to the assessee's income in computation under section 143(3). Case-Laws Income Tax Tue, 30 Sep 2014 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=252775