https://www.taxtmi.com/caselaws?id=355446 The Tribunal allowed both appeals, holding that the loss on foreign exchange fluctuation should be treated as revenue expenditure under Section 37(1) of the Income-tax Act, 1961, following the precedent set by the Apex Court in CIT v. Woodward Governor India (P) Ltd. The Tribunal emphasized that the term "expenditure" in Section 37 includes losses, even if not physically paid out by the assessee. This decision overturned the disallowance by lower authorities, stressing the need for consistency in tax treatment of foreign exchange gains and losses. en-us Thu, 08 Feb 2018 00:00:00 +0530 Wed, 14 Feb 2018 09:48:46 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=355446 The Tribunal allowed both appeals, holding that the loss on foreign exchange fluctuation should be treated as revenue expenditure under Section 37(1) of the Income-tax Act, 1961, following the precedent set by the Apex Court in CIT v. Woodward Governor India (P) Ltd. The Tribunal emphasized that the term "expenditure" in Section 37 includes losses, even if not physically paid out by the assessee. This decision overturned the disallowance by lower authorities, stressing the need for consistency in tax treatment of foreign exchange gains and losses. Case-Laws Income Tax Thu, 08 Feb 2018 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=355446