https://www.taxtmi.com/caselaws?id=186029 For deduction under section 35D, expenditure is treated as incurred by the company when it accepts and discharges promoters' pre-incorporation liability, not when the promoters originally spend the amounts. A company is not liable for such expenditure until it comes into existence and adopts the liability. On that basis, reimbursement made after 31 March 1970 pursuant to the company's acceptance of the liability satisfied the statutory timing and qualified for deduction under section 35D. en-us Mon, 05 Mar 2012 00:00:00 +0530 Tue, 06 Sep 2016 12:26:35 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=186029 For deduction under section 35D, expenditure is treated as incurred by the company when it accepts and discharges promoters' pre-incorporation liability, not when the promoters originally spend the amounts. A company is not liable for such expenditure until it comes into existence and adopts the liability. On that basis, reimbursement made after 31 March 1970 pursuant to the company's acceptance of the liability satisfied the statutory timing and qualified for deduction under section 35D. Case-Laws Income Tax Mon, 05 Mar 2012 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=186029