https://www.taxtmi.com/caselaws?id=17600 The High Court allowed the deduction of Rs. 17,78,313 claimed by the assessee for the assessment year 1981-82, despite the Revenue's argument that the liability was contingent and unascertained. Relying on the Supreme Court's decision in Kedarnath Jute Manufacturing Co. Ltd., the High Court held that the obligation to pay sales tax arises when taxable sales are made, even if the liability is disputed or not accounted for. The court emphasized the importance of judicial precedents in interpreting tax liabilities and deductions, ultimately ruling in favor of the assessee and against the Revenue. en-us Tue, 04 Mar 1997 00:00:00 +0530 Wed, 23 Sep 2009 15:36:47 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=17600 The High Court allowed the deduction of Rs. 17,78,313 claimed by the assessee for the assessment year 1981-82, despite the Revenue's argument that the liability was contingent and unascertained. Relying on the Supreme Court's decision in Kedarnath Jute Manufacturing Co. Ltd., the High Court held that the obligation to pay sales tax arises when taxable sales are made, even if the liability is disputed or not accounted for. The court emphasized the importance of judicial precedents in interpreting tax liabilities and deductions, ultimately ruling in favor of the assessee and against the Revenue. Case-Laws Income Tax Tue, 04 Mar 1997 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=17600