https://www.taxtmi.com/caselaws?id=195273 The High Court of Calcutta ruled against the allowability of a provision for Non-Performing Assets (NPA) as a deduction under the Income-tax Act, 1961. The court held that the provision for NPA made by the assessee did not qualify for deduction under the relevant provisions, emphasizing the need to assess the nature of transactions independently of accounting practices or RBI guidelines. The decision favored the revenue, setting a precedent that financial statement presentation does not bind tax authorities, and expenses or losses must meet specific criteria for deduction under the Income-tax Act. en-us Thu, 23 Apr 2015 00:00:00 +0530 Wed, 25 Oct 2017 08:13:55 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=195273 The High Court of Calcutta ruled against the allowability of a provision for Non-Performing Assets (NPA) as a deduction under the Income-tax Act, 1961. The court held that the provision for NPA made by the assessee did not qualify for deduction under the relevant provisions, emphasizing the need to assess the nature of transactions independently of accounting practices or RBI guidelines. The decision favored the revenue, setting a precedent that financial statement presentation does not bind tax authorities, and expenses or losses must meet specific criteria for deduction under the Income-tax Act. Case-Laws Income Tax Thu, 23 Apr 2015 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=195273