Dismissing the appeal of the revenue the Court held that , expenditure on temporary structures , provisions made for directors’ retirement benefit, liability arising out of voluntary retirement scheme etc. is held to be allowable expenditure. Deletion of addition in respect of provision for deferred tax liability holding that the addition resulted into double disallowance is also affirmed . (Arising out of ITA No.3787/Mum/2009 dt.29/07/2015) (ITA No.1658 of 2016, dt.04/03/2019)(AY . 2002-2003)
CIT v ACC Ltd (2019) 112 taxmann.com 402 (Bom.)(HC) Editorial: SLP of revenue is dismissed, CIT (LTU) v. ACC Ltd. (2019)418 ITR 9 (St)(SC)/ (2020) 269 Taxman 14 (SC)
S. 37 (1): Business expenditure – Expenditure on temporary structure – Provision for deferred liability – Held to be allowable. [ S.115JB ]