https://www.taxtmi.com/caselaws?id=9742 The amended proviso to section 8(2)(f)(vii) of the Assam Agricultural Income-tax Act was treated as a limiting condition, so deduction of unpaid cess was available only if the corresponding expenditure would be admissible under the Income-tax Act, 1961. Because section 43B allows deduction of tax, duty, cess or fee only on actual payment, unpaid cess did not satisfy that condition and was not deductible. The mercantile system of accounting did not override this statutory restriction, and the principle in Gemini Cashew Sales Corporation was distinguished on that basis. The text concludes that unpaid cess is not allowable where the central statute requires actual payment. en-us Tue, 30 May 2006 00:00:00 +0530 Mon, 13 Jun 2011 18:18:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=9742 The amended proviso to section 8(2)(f)(vii) of the Assam Agricultural Income-tax Act was treated as a limiting condition, so deduction of unpaid cess was available only if the corresponding expenditure would be admissible under the Income-tax Act, 1961. Because section 43B allows deduction of tax, duty, cess or fee only on actual payment, unpaid cess did not satisfy that condition and was not deductible. The mercantile system of accounting did not override this statutory restriction, and the principle in Gemini Cashew Sales Corporation was distinguished on that basis. The text concludes that unpaid cess is not allowable where the central statute requires actual payment. Case-Laws Income Tax Tue, 30 May 2006 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=9742