https://www.taxtmi.com/highlights?id=61851 Claim of deduction of Provisions made - Basis of creating the provision - uncertain liability or not - The above facts would substantiate that the provision has been made for material cost and/or compensation for cancellation/suspension of contracts which is incurred under contracts with its vendors entered pursuant to pre-existing commitments against supply contracts with customers, the latter having been subsequently cancelled/suspended. Hence, we hold that the provision is an allowable deduction. - AT en-us Mon, 07 Feb 2022 08:13:31 +0530 Mon, 07 Feb 2022 08:13:31 +0530 TaxTMI RSS Generator https://www.taxtmi.com/highlights?id=61851 Claim of deduction of Provisions made - Basis of creating the provision - uncertain liability or not - The above facts would substantiate that the provision has been made for material cost and/or compensation for cancellation/suspension of contracts which is incurred under contracts with its vendors entered pursuant to pre-existing commitments against supply contracts with customers, the latter having been subsequently cancelled/suspended. Hence, we hold that the provision is an allowable deduction. - AT Highlights Income Tax Mon, 07 Feb 2022 08:13:31 +0530 https://www.taxtmi.com/highlights?id=61851