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
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
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
- TDS CREDIT MISMATCHING
- Buy back of shares u/s69
- Tax Audit Applicability – Newly Formed Partnership Firm with Profit Below 6%/8%
- HOUSING LOAN ISSUE
- ADDITION OF CHALLAN IN TDS RETURN FORM 140
- TODAY INCOME TAX SITE IS NOT WORKING ANY OFFICIAL EXTENSION
- ITR 4 and Bank transactions
- IS AUDIT MANDATORY IF COMMISSION INCOME IS MORE THAN 50 LAKH
- Carriage Road Act, 2007 read with Carriage by Road Rules, 2011
- TDS AND ITR ISSUE
- Journal entry of busniess expenses
- Cash balance limit and property purchases limit
- CALCULATION OF DEFFERED TAX - OP BL IS DTL & CURRET IT DTA
- LLP audit under companies act
- Experienced CA recommendation from Kolkata for FNO return filing
- Interest Reporting in Form 168
- Sales of goods of amount Rs77 lakhs to a party
- Tax Demand of ₹4,650 for AY 2026-27
- Concept of Vendor and customner reconciliation
- Mistake in e-invoice identified after 24 hours
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
