Expense Allowed or not
This query is : Resolved
30 November 2007
My vendor has raised a invoice for a prior period Interest...will this be a allowable expense in my books...
30 November 2007
PRIOR PERIOD EXP. ARE DISALLOWED BY THE ASSESSING OFFICER SINCE SEC. 37 OF INCOME TAX ACT PROVIDES THAT ANY EXPENDITURE TO BE DEDUCTIBLE MUST HAVE BEEN INCURRED BY THE ASSESSEE DURING THE PREVIOUS YEAR.
YOU MAY ASK (IF POSSIBLE) YOUR VENDOR TO RAISE THE INVOICE DURING CURRENT YEAR .THE INVOICE IF STATES AS INTEREST HE SHOULD MEKE TDS DEDUCTION ALSO IF APPLICABLE.
R.V.RAO
YOU MAY ASK (IF POSSIBLE) YOUR VENDOR TO RAISE THE INVOICE DURING CURRENT YEAR .THE INVOICE IF STATES AS INTEREST HE SHOULD MEKE TDS DEDUCTION ALSO IF APPLICABLE.
R.V.RAO
Late CA Sampat Jain
(Expert)
30 November 2007
Each year is a self-contained accounting period - For income-tax purposes, each year is a self-contained accounting period and the revenue authorities can take into consideration income, profits and gains made in that year and are not concerned with potential profits which may be made in another year any more than they are concerned with losses which may occur in future - Sir Kikabhai Premchand v. CIT [1953] 24 ITR 506 (SC
CA. GOPAL SONIKA
(Expert)
03 March 2008
No it is not allowable.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Depreciation Chart Companies Act
- GST Audit whether Govt Companies are exempt?
- PTRC Show Cause Notice on Email
- Accounting treatment of AMC alongwith the purchase of Laptop
- Unable to File TDS Q2 Return – New TRACES Portal Error
- Capital Gail Exemption Certificate
- Taxation of crypto futures in India Fy 2026- 2027
- EPF ECR NEW RULES Sep 17th 2026
- Not ordinarily resident having partnership income in India and salary in USA is any form to filed be
- Issuing of delivery challan by seller of goods
- GST Treatment of Purchases with GST Paid where Outward Supplies of Manufactured CattleFeed Exempt
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
