https://www.taxtmi.com/caselaws?id=771057 Gujarat HC disallowed special deduction under Section 42 for mineral oil prospecting business. Court relied on SC precedent in Joshi Technologies International Inc, holding that Section 42 allowances require specific provisions in Production Sharing Contracts (PSCs) as they create independent accounting regimes. Since the PSCs lacked mandatory stipulations for such allowances and Section 42 conditions were unfulfilled, the Assessing Officer correctly denied deductions. The appellant's attempt to incorporate Model PSC provisions into the agreement was rejected. Decision favored the assessee regarding the disallowance. en-us Tue, 11 Feb 2025 00:00:00 +0530 Tue, 20 May 2025 08:53:37 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=771057 Gujarat HC disallowed special deduction under Section 42 for mineral oil prospecting business. Court relied on SC precedent in Joshi Technologies International Inc, holding that Section 42 allowances require specific provisions in Production Sharing Contracts (PSCs) as they create independent accounting regimes. Since the PSCs lacked mandatory stipulations for such allowances and Section 42 conditions were unfulfilled, the Assessing Officer correctly denied deductions. The appellant's attempt to incorporate Model PSC provisions into the agreement was rejected. Decision favored the assessee regarding the disallowance. Case-Laws Income Tax Tue, 11 Feb 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=771057