Income Tax

as per proviso to sec 37 penalty of rs 2000 will be disallowed.however,diff amt of vat  and int will be allowable sub to 43B i.e. on payment basis

r u sure?

it will be allowed if the same hasnt been allowed last year....

penalty of Rs.2000 cannot be allowed. interest of 80k also to be disallowed, coz it is an expense as a result of delay and mistake on the part of assessee

i think the above int is compensatory in nature and not penal,so the same can be allowed u/s 37......

ya. i think i made a flaw. Interest is allowable. pls refer LAKSHMANDAS MATHURADAS VS CIT(1997) CASE. SORRY FOR THE FLAW. MR. RONIT IS CORRECT

penalty not allowed as deduction ........................

Hi,

Kindly summarise the case. I couldn't understand what is the conclusion.

Thnaks Ronit

thanks ronit....