TDS deducted on payment allowable as expense when Assessee follows cash Method

Deloitte Haskins & Sells Vs ACIT (ITAT Delhi) Conclusion: Amount of tax deducted at source from the payment made to the recipient of such income could be said to be the amount of expenditure incurred by assessee and paid during the year and, therefore, it was allowable to assessee as business expenditure. Held: AO did not allow deduction of expenditure of Rs.44,09,937 representing tax deducted at source for Financial Year 2010-11 but paid in Financial Year 2011-12. It was held undisputedly, assessee was following cash system of accounting and, therefore, generally whatever was the cash out...