https://www.taxtmi.com/caselaws?id=466100 Warranty provision based on historical claim experience, product-specific risk factors and a consistently applied methodology may be deductible when computed on a scientific basis. The manufacturer maintained a provision for its two-year warranty obligations, supported by year-wise calculations, accounting entries and past trends. As the basis and accounting treatment were not controverted, the warranty provision was treated as scientifically determined, and the disallowance was set aside. en-us Tue, 10 Dec 2024 00:00:00 +0530 Thu, 22 Jan 2026 11:22:14 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=466100 Warranty provision based on historical claim experience, product-specific risk factors and a consistently applied methodology may be deductible when computed on a scientific basis. The manufacturer maintained a provision for its two-year warranty obligations, supported by year-wise calculations, accounting entries and past trends. As the basis and accounting treatment were not controverted, the warranty provision was treated as scientifically determined, and the disallowance was set aside. Case-Laws Income Tax Tue, 10 Dec 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=466100