https://www.taxtmi.com/caselaws?id=6406 A business sacrifice made on grounds of commercial expediency was treated as allowable revenue expenditure, because the office allowance was surrendered to support the managed company's finances. The managing agency commission was not taxed as accrued income, since no payment date had been fixed, the amount could be determined only after the managed companies finalised accounts, and the commission was given up before that point. On the real income principle, mercantile accounting alone did not create accrual where entitlement remained unsettled. The Revenue's appeals were dismissed. en-us Wed, 04 Apr 1973 00:00:00 +0530 Thu, 04 Dec 2008 00:00:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=6406 A business sacrifice made on grounds of commercial expediency was treated as allowable revenue expenditure, because the office allowance was surrendered to support the managed company's finances. The managing agency commission was not taxed as accrued income, since no payment date had been fixed, the amount could be determined only after the managed companies finalised accounts, and the commission was given up before that point. On the real income principle, mercantile accounting alone did not create accrual where entitlement remained unsettled. The Revenue's appeals were dismissed. Case-Laws Income Tax Wed, 04 Apr 1973 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=6406