https://www.taxtmi.com/caselaws?id=23562 An assessee maintaining mercantile accounts cannot claim a deduction for assessment year 1977-78 for expenditure that was incurred and paid in 1975, because it did not relate to the relevant previous year. The Tribunal's approach of allowing the claim merely because the final bill was prepared and paid in the year of claim was held to be inconsistent with the settled accounting principle governing mercantile method deductions. The deduction was therefore not allowable for the assessment year in question, and the issue was answered against the assessee. en-us Wed, 17 Jan 1990 00:00:00 +0530 Mon, 21 Dec 2009 17:29:19 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=23562 An assessee maintaining mercantile accounts cannot claim a deduction for assessment year 1977-78 for expenditure that was incurred and paid in 1975, because it did not relate to the relevant previous year. The Tribunal's approach of allowing the claim merely because the final bill was prepared and paid in the year of claim was held to be inconsistent with the settled accounting principle governing mercantile method deductions. The deduction was therefore not allowable for the assessment year in question, and the issue was answered against the assessee. Case-Laws Income Tax Wed, 17 Jan 1990 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=23562