Dismissing the appeal of the revenue the Court held that Payment of interest on delayed payment of custom duty is part of duty – Allowable as deduction in the year of payment. Followed Mahalaxmi Sugar Mills Co v CIT (1980 ) 123 ITR 429 (SC)(ITA No. 809 of 2017, dt. 27.08.2019) (AY. 2007 -08)
PCIT v. M. J. Export Pvt. Ltd. (Bom)(HC), www.itatonline.org
S. 43B : Certain deductions on actual payment–Payment of interest on delayed payment of custom duty is part of duty– Allowable as deduction in the year of payment. [S. 37(1)]