https://www.taxtmi.com/caselaws?id=2075 HC held that increase in liability from foreign-exchange fluctuation measured at the exchange rate prevailing on the last day of the financial year is allowable as a deduction under Section 37 and is not merely notional or contingent. ICAI accountancy standards require reworking cost with reference to the year-end rate; capital-account items paid before fluctuation may be revalued for cost, depreciation or investment allowance accordingly. The amendment to Section 43A was held to be prospective from 1-4-2003 (per CBDT), so prior judicially accepted practice remains operative. Appeals decided for the assessee against Revenue. en-us Mon, 30 Apr 2007 00:00:00 +0530 Mon, 15 Sep 2025 18:12:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=2075 HC held that increase in liability from foreign-exchange fluctuation measured at the exchange rate prevailing on the last day of the financial year is allowable as a deduction under Section 37 and is not merely notional or contingent. ICAI accountancy standards require reworking cost with reference to the year-end rate; capital-account items paid before fluctuation may be revalued for cost, depreciation or investment allowance accordingly. The amendment to Section 43A was held to be prospective from 1-4-2003 (per CBDT), so prior judicially accepted practice remains operative. Appeals decided for the assessee against Revenue. Case-Laws Income Tax Mon, 30 Apr 2007 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=2075