Please help on following issue,
Although previous year expenses are disallowed under income tax act, but are Previous Year expenses adjustable against Previous Year Income(Discount received against a Purchase Bill of previous year) under Income Tax Act.
Discount received will be shown as an seperate time under the head Indirect Income in the P&L. the same would be chargeable to tax & no benefit of the expense against such income be taken, provided that the assesse is able to proove that the expense could not be recoreded in P&L due to some genuine reasons.
Agree with Giridhar sir
Sir can you please refer any case law regarding said issue or any section/ rule which can clearly state your opinion.
Thanks Ankit
CCI
Pro
CAclubindia
