https://www.taxtmi.com/caselaws?id=261076 Interest on non-performing assets and sticky advances of a co-operative bank is not taxable merely on notional accrual where RBI prudential norms and the real income principle defer recognition until receipt or appropriate credit. The applicable framework treats such interest as taxable only when it is recognised as real income. This approach distinguishes decisions concerning non-banking financial companies and provisions for NPAs, which do not govern income recognition by co-operative banks. The addition for accrued interest on NPAs or sticky loans was therefore deleted. en-us Fri, 31 Oct 2014 00:00:00 +0530 Thu, 02 Jul 2015 06:13:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=261076 Interest on non-performing assets and sticky advances of a co-operative bank is not taxable merely on notional accrual where RBI prudential norms and the real income principle defer recognition until receipt or appropriate credit. The applicable framework treats such interest as taxable only when it is recognised as real income. This approach distinguishes decisions concerning non-banking financial companies and provisions for NPAs, which do not govern income recognition by co-operative banks. The addition for accrued interest on NPAs or sticky loans was therefore deleted. Case-Laws Income Tax Fri, 31 Oct 2014 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=261076