https://www.taxtmi.com/caselaws?id=359249 Interest on non-performing assets was held not taxable on accrual where RBI income-recognition norms governed the bank's accounting, and the CBDT circular on interest not received for the prescribed period remained applicable. The reasoning treated RBI directions on income recognition as having overriding effect under the banking framework, and accepted that a co-operative bank fell within the relevant banking law expression. Section 43D was not read as displacing the circular for all assessees, because its statutory benefit was confined to specified categories. On that basis, interest on NPAs could not be brought to tax and the addition was deleted. en-us Mon, 09 Apr 2018 00:00:00 +0530 Thu, 26 Apr 2018 09:37:58 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=359249 Interest on non-performing assets was held not taxable on accrual where RBI income-recognition norms governed the bank's accounting, and the CBDT circular on interest not received for the prescribed period remained applicable. The reasoning treated RBI directions on income recognition as having overriding effect under the banking framework, and accepted that a co-operative bank fell within the relevant banking law expression. Section 43D was not read as displacing the circular for all assessees, because its statutory benefit was confined to specified categories. On that basis, interest on NPAs could not be brought to tax and the addition was deleted. Case-Laws Income Tax Mon, 09 Apr 2018 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=359249