https://www.taxtmi.com/caselaws?id=267313 The High Court upheld the Tribunal's decision that Additional Finance Charges (AFC) should be taxed on a cash receipt basis due to their uncertain nature. The Court emphasized that AFC does not accrue with certainty and should only be recognized as income upon actual receipt. The decision was based on the principle that the method of accounting for AFC does not lead to any loss for the Revenue. The Court dismissed the Revenue's appeals, affirming the application of the cash basis accounting method for AFC. en-us Mon, 15 Jun 2015 00:00:00 +0530 Wed, 04 May 2016 12:40:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=267313 The High Court upheld the Tribunal's decision that Additional Finance Charges (AFC) should be taxed on a cash receipt basis due to their uncertain nature. The Court emphasized that AFC does not accrue with certainty and should only be recognized as income upon actual receipt. The decision was based on the principle that the method of accounting for AFC does not lead to any loss for the Revenue. The Court dismissed the Revenue's appeals, affirming the application of the cash basis accounting method for AFC. Case-Laws Income Tax Mon, 15 Jun 2015 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=267313