17 February 2013
Please let me know, whether foriegn exchange exchange fluctuation is allowable as expenses as per income tax act 1961, if so please give me terms and condition for allowability of this expenses
Loss due to foreign exchange in allowable expenditure in profit and loss account as per the Accounting Standard . The decision of Honorable Supreme court in case of Bharat Earth Movers Ltd and CIT . Supreme court said that it is allowable expenditure .
CAclubindia
