https://www.taxtmi.com/caselaws?id=26136 Purchase tax deduction depends on the accounting method regularly followed and the year in which the liability accrues or is actually paid. Where the assessee followed a mixed system for tax liabilities, the purchase tax relating to the earlier assessment year was deductible in the year the liability properly related to, even though payment was made later in instalments. By contrast, the purchase tax amount actually paid in the earlier accounting year had to be claimed in that year, and pending litigation did not permit shifting the deduction to assessment year 1971-72. The reference was thus answered partly for the assessee and partly for the Revenue. en-us Thu, 21 Nov 1985 00:00:00 +0530 Wed, 03 Feb 2010 10:40:47 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=26136 Purchase tax deduction depends on the accounting method regularly followed and the year in which the liability accrues or is actually paid. Where the assessee followed a mixed system for tax liabilities, the purchase tax relating to the earlier assessment year was deductible in the year the liability properly related to, even though payment was made later in instalments. By contrast, the purchase tax amount actually paid in the earlier accounting year had to be claimed in that year, and pending litigation did not permit shifting the deduction to assessment year 1971-72. The reference was thus answered partly for the assessee and partly for the Revenue. Case-Laws Income Tax Thu, 21 Nov 1985 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=26136