Taxability of DEPB (Export Incentive) Income

This query is : Open

Querist : Anonymous

Querist : Anonymous (Querist)

06 February 2010 Whether DEPB Income is taxable on accrual basis (i.e. when the export sale and DEPB income is recognised in books) or on receipt basis i.e. when the DEPB is issued by DGFT office. The assessee follows mercantile basis of accounting.

CA PUNEET TANEJA

CA PUNEET TANEJA (Expert)
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06 February 2010 Hii
As per my point of view DEPB income has been recognised in your books on accrual basis. since DEPB in nothing just a PGBP income.So its treatment is similar like Duty Drawback.

Querist : Anonymous

Querist : Anonymous (Querist)

06 February 2010 Isn't there any case law which had held that DEPB Income is taxable after it is issued by DGFT office?

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