10 September 2012
Mr.XYZ, An Advocate following Cash System of Accounting. He has collected service tax from his clients but not paid to the govt. before end of the March'2012. Suppose he pays now before due date of filing ROI i.e 30/09/2012. Whether he can claim the deduction for the same for the P.Y. ending 31/03/2012 related to A.Y.2012-13 ?
10 September 2012
Dear Bijal, XYZ cannot claim this as expenditure because he is depositing what he has collected. No matter whether he follows any system of accounting.
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