Dear Sir
Service Tax Payable Shown as liability under Current Liabilities not debited to P&L a/c (not claimed as expenses),not paid before filing IT Returns , is it allowable under Income Tax Act,Pls clarify
Manoj Chaitanya Varma (0) (65 Points)
19 September 2014Dear Sir
Service Tax Payable Shown as liability under Current Liabilities not debited to P&L a/c (not claimed as expenses),not paid before filing IT Returns , is it allowable under Income Tax Act,Pls clarify
Abhijeet Deshpande
(Co-Founder & Manager @ Tax-Yantra)
(1171 Points)
Replied 19 September 2014
Sec 43B requires an asseessee to pay such liabilty to claim deduction.
Hence, amount payable shown under current liabilty (not paid before filing the return) will not be allowed for the relevant PY.
However, same shall be allowed in P.Y. of actual payment.
GST Live Certification Course (39th Batch) - April 2024 (Weekend Batch) (With Certificate)
"Live class on Python for Financial Analysis: Unlocking Efficiency in Accounting and Finance"
CAclubindia
