https://www.taxtmi.com/caselaws?id=34980 For MAT computation, an Assessing Officer cannot rework an electricity-supply company's depreciation or related book-profit figures by substituting independent calculations where statutory electricity accounting rules and applicable company law govern the accounts. Capital contributions, grants and subsidies must be treated under that framework; the depreciation-based adjustment was unsustainable. Prior-period expenses cannot be added back to book profit where the liability crystallised during the relevant year, subject to factual verification. Interest borne by the assessee on borrowings raised for its business purposes is deductible in principle where the business nexus and liability to pay are established, subject to verification. en-us Fri, 20 Nov 2009 00:00:00 +0530 Thu, 31 Jan 2013 12:41:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=34980 For MAT computation, an Assessing Officer cannot rework an electricity-supply company's depreciation or related book-profit figures by substituting independent calculations where statutory electricity accounting rules and applicable company law govern the accounts. Capital contributions, grants and subsidies must be treated under that framework; the depreciation-based adjustment was unsustainable. Prior-period expenses cannot be added back to book profit where the liability crystallised during the relevant year, subject to factual verification. Interest borne by the assessee on borrowings raised for its business purposes is deductible in principle where the business nexus and liability to pay are established, subject to verification. Case-Laws Income Tax Fri, 20 Nov 2009 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=34980