Dismissing the appeal of the Revenue the Court held that Tribunal rightly held that interest subsidy should be deemed as income under section 41(1) and though accrued in assessment year 2001-02 will be charged in assessment year 2002-03. (AY. 2001-02)
CIT v. Vivada Inland Waterways Ltd. (2022) 288 Taxman 99 (Cal.)(HC)
S. 41(1) : Profits chargeable to tax-Remission or cessation of trading liability-Method of accounting-Interest subsidy-Taxable on actual remission or cessation of liability. [S. 145]