Deduction u/s 37(1) of liability arising for warranty ::

Last updated: 02 December 2007

Court :
HC

Brief :
Held by the Hon`ble Court that as the amounts set apart by the assessee for different A.Y. are done on the basis of past experience even though the liability is to be quantified and discharged in future, the provision made for the liability against warranty is deductible under section 37(1).

Citation :
C.I.T. Vs. Sony India (P) Ltd.

Deduction u/s 37(1) of liability arising for warranty C.I.T. Vs. Sony India (P) Ltd. 04/17/2006 [2007] 160 TAXMAN 397 (DELHI) Case Fact: Whether liability against warranty is a deductible allowance under section 37(1)? Decision: Held by the Hon`ble Court that as the amounts set apart by the assessee for different A.Y. are done on the basis of past experience even though the liability is to be quantified and discharged in future, the provision made for the liability against warranty is deductible under section 37(1).

Summarize this with AI

ChatGPT Perplexity Claude Google AI Grok

CA.Saibaburao Nanduri

Published in Income Tax
Views : 55

Share Report Abuse

Comments

Deduction u/s 37(1) of liability arising for warranty ::

CA.Saibaburao Nanduri

Trending Online Classes

Meet our CAclubindia PRO Members

Browse by Category

Latest Job Openings

CA Final

Senior Executive

GST CONSULTANCY

Manager- Finance and Compliance

Accountant

GST CONSULTANT

Deduction u/s 37(1) of liability arising for warranty ::

Other Latest Judgments

Browse by Category