Dismissing the appeal of the revenue the Court held that loss incurred on Sale of Fertilizer Bonds received as subsidy from Government in lieu of cash is held to be allowable as business loss. (AY. 2009 -10)
PCIT v. Gujarat Narmada Valley Fertilizer and Chemicals Ltd. (2019) 416 ITR 144/ 266 Taxman 19 (Mag.)/ 311 CTR 556 / 184 DTR 84(Guj)(HC)
S.28(i): Business loss- Sale of Fertilizer Bonds received as subsidy from Government in lieu of cash — Allowable as business loss . [ S. 2(14) ]