Premium for insurance of stock-in-trade or Store - (New) Section 30(a) / (Old) Section 36(1)(i)

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....stores used for the purposes of business or profession; allowed as deduction while computing the Income Chargeable under section 26. [ Section 30(a) ] Nature of deduction • The expense must be insurance premium. • It is revenue in nature, not capital expenditure. What is insured? • Stock-in-trade (goods meant for sale) • Stores (consumables....

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.... premium. • It is revenue in nature, not capital expenditure. What is insured? • Stock-in-trade (goods meant for sale) • Stores (consumables used in business, like raw materials, supplies) • The policy must cover risk of loss, damage or destruction, such as: • Fire • Theft • Natural disasters â€....