Held that when the assessee has given reasons for change of accounting method, revenue expenses are allowable as deduction. Tribunal also held that Loan processing fees on term loan, stamp charges, share issue expenses-Allowable as deduction, though shown as prepaid expenses or deferred expenditure in books of account.(AY. 2016-17)
DCIT v. Hinduja Leyland Finance Ltd. (2021) 191 ITD 529 (Chennai)(Trib.)
S. 145 : Method of accounting-Change of accounting-Revenue expenditure allowable as deduction-Loan processing fees on term loan, stamp charges, share issue expenses-Allowable as deduction, though shown as prepaid expenses or deferred expenditure in books of account. [S. 37(1)]