https://www.taxtmi.com/caselaws?id=15748 Under the mercantile system, a deduction is available only for an accrued and existing liability, so a mere budgetary provision for soil conservation was not deductible and the disallowance was upheld. Expenditure actually incurred for a domestic inquiry into employee thefts was allowable because it had a direct nexus with the conduct and protection of agricultural operations, even though no police complaint was filed. Commission paid on sale of latex was not deductible in computing agricultural income because it was linked to the sale transaction, not expenditure laid out wholly and exclusively for the purpose of the land, and the claim was also unsupported by vouchers. en-us Mon, 01 Dec 1997 00:00:00 +0530 Thu, 27 Aug 2009 14:03:50 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=15748 Under the mercantile system, a deduction is available only for an accrued and existing liability, so a mere budgetary provision for soil conservation was not deductible and the disallowance was upheld. Expenditure actually incurred for a domestic inquiry into employee thefts was allowable because it had a direct nexus with the conduct and protection of agricultural operations, even though no police complaint was filed. Commission paid on sale of latex was not deductible in computing agricultural income because it was linked to the sale transaction, not expenditure laid out wholly and exclusively for the purpose of the land, and the claim was also unsupported by vouchers. Case-Laws Income Tax Mon, 01 Dec 1997 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=15748