Provision for warranty made on scientific basis is allowable

Advocate Akhilesh Kumar Sah Grundfos Pumpas India Ltd. Vs DCIT (Madras High Court) Grundfos Pumpas India case: Where the provision was made on a scientific basis and not on an adhoc estimate, deduction in respect of provision for warranty was allowed In Grundfos Pumpas India Ltd. vs. DCIT [T.C.A. No.1003 of 2008, decided on 03.09.2018], appeal was directed against the order of the Income Tax Appellate Tribunal (for short ‘the Tribunal’), A Bench, Chennai, in ITA No.939 of 2007, dated 23.01.2008, for the A.Y. 2003-2004. The appeal was admitted vide order dated 19.08.2008 on the following ...