https://www.taxtmi.com/caselaws?id=459486 A co-operative bank notified by the RBI as a non-scheduled bank falls within the statutory scope of section 36(1)(viia), so the deduction was treated as allowable. Interest on non-performing assets was not taxable on accrual basis where, under RBI prudential norms, the bank did not recognise such income and the principal itself had become doubtful of recovery, so the addition was held unjustified. The Revenue's objections on both issues were rejected and the relief granted by the first appellate authority was sustained. en-us Wed, 16 Sep 2015 00:00:00 +0530 Mon, 16 Dec 2024 18:31:29 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=459486 A co-operative bank notified by the RBI as a non-scheduled bank falls within the statutory scope of section 36(1)(viia), so the deduction was treated as allowable. Interest on non-performing assets was not taxable on accrual basis where, under RBI prudential norms, the bank did not recognise such income and the principal itself had become doubtful of recovery, so the addition was held unjustified. The Revenue's objections on both issues were rejected and the relief granted by the first appellate authority was sustained. Case-Laws Income Tax Wed, 16 Sep 2015 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=459486