https://www.taxtmi.com/caselaws?id=17282 Under the mercantile system, sales tax liability ordinarily accrues when the relevant transaction is completed, but a deduction is allowed in the year in which the liability is actually quantified and intimated if it was not crystallised earlier. Here, the additional sales tax for earlier assessment years was determined only during the previous year relevant to assessment year 1978-79, and the assessee was informed of the liability at that stage. Because the amount could not reasonably have been anticipated earlier and was paid in the relevant year, the deduction was held allowable in assessment year 1978-79. en-us Wed, 26 Nov 1997 00:00:00 +0530 Mon, 21 Sep 2009 13:02:11 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=17282 Under the mercantile system, sales tax liability ordinarily accrues when the relevant transaction is completed, but a deduction is allowed in the year in which the liability is actually quantified and intimated if it was not crystallised earlier. Here, the additional sales tax for earlier assessment years was determined only during the previous year relevant to assessment year 1978-79, and the assessee was informed of the liability at that stage. Because the amount could not reasonably have been anticipated earlier and was paid in the relevant year, the deduction was held allowable in assessment year 1978-79. Case-Laws Income Tax Wed, 26 Nov 1997 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=17282