https://www.taxtmi.com/caselaws?id=446451 The ITAT Indore ruled on multiple issues for a sick company. Foreign travel expenses were allowed as they related to legitimate business with Spain and Turkey, with reasonable expenditure considering import/export volumes. Depreciation on plant and machinery was fully allowed, holding that loan waiver under One Time Settlement cannot reduce the Written Down Value of assets to nil, following Supreme Court precedent in Tata Iron Steels. However, delayed PF contribution deduction was disallowed under section 36(1)(va) following Checkmate Service judgment. Prior period expenses were disallowed due to assessee's inability to provide crystallization details. Addition under section 41(1) for cessation of liability was deleted as revenue failed to prove liability actually ceased, with time factor alone being insufficient. en-us Thu, 24 Aug 2023 00:00:00 +0530 Tue, 05 Dec 2023 07:34:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=446451 The ITAT Indore ruled on multiple issues for a sick company. Foreign travel expenses were allowed as they related to legitimate business with Spain and Turkey, with reasonable expenditure considering import/export volumes. Depreciation on plant and machinery was fully allowed, holding that loan waiver under One Time Settlement cannot reduce the Written Down Value of assets to nil, following Supreme Court precedent in Tata Iron Steels. However, delayed PF contribution deduction was disallowed under section 36(1)(va) following Checkmate Service judgment. Prior period expenses were disallowed due to assessee's inability to provide crystallization details. Addition under section 41(1) for cessation of liability was deleted as revenue failed to prove liability actually ceased, with time factor alone being insufficient. Case-Laws Income Tax Thu, 24 Aug 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=446451