https://www.taxtmi.com/caselaws?id=329298 Gujarat HC held that stamp duty paid for executing a contract was a compulsory statutory levy under the Bombay Stamp Act, 1958 and not an item of business expediency. The assessee's accounting treatment could not override the Income-tax Act, 1961, and revenue expenditure wholly and exclusively incurred for business was ordinarily deductible in the year of incurrence. The matching concept urged by the Revenue was found inapplicable on the facts, and the authorities cited for disallowance were distinguished. The disallowance of stamp duty expense was therefore unsustainable, and the deduction was allowed in the year the expense was incurred. en-us Tue, 14 Jun 2016 00:00:00 +0530 Tue, 28 Jun 2016 05:05:48 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=329298 Gujarat HC held that stamp duty paid for executing a contract was a compulsory statutory levy under the Bombay Stamp Act, 1958 and not an item of business expediency. The assessee's accounting treatment could not override the Income-tax Act, 1961, and revenue expenditure wholly and exclusively incurred for business was ordinarily deductible in the year of incurrence. The matching concept urged by the Revenue was found inapplicable on the facts, and the authorities cited for disallowance were distinguished. The disallowance of stamp duty expense was therefore unsustainable, and the deduction was allowed in the year the expense was incurred. Case-Laws Income Tax Tue, 14 Jun 2016 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=329298