https://www.taxtmi.com/caselaws?id=354833 Interest on non-performing asset accounts is not recognised as taxable income on accrual where recovery is uncertain, because RBI prudential norms govern income recognition under section 45Q of the Reserve Bank of India Act. The CBDT circular on hardship relief continues to operate and is not displaced merely because section 43D of the Income-tax Act gives a specific benefit to another class of assessees. In this framework, a co-operative bank is treated within the banking-company framework for the purpose of recognising NPA interest, and such interest does not, in substance, accrue for tax purposes. en-us Fri, 19 Jan 2018 00:00:00 +0530 Mon, 05 Feb 2018 09:02:14 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=354833 Interest on non-performing asset accounts is not recognised as taxable income on accrual where recovery is uncertain, because RBI prudential norms govern income recognition under section 45Q of the Reserve Bank of India Act. The CBDT circular on hardship relief continues to operate and is not displaced merely because section 43D of the Income-tax Act gives a specific benefit to another class of assessees. In this framework, a co-operative bank is treated within the banking-company framework for the purpose of recognising NPA interest, and such interest does not, in substance, accrue for tax purposes. Case-Laws Income Tax Fri, 19 Jan 2018 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=354833