Provision for actual delays & defaults is ‘ascertained liability’ & allowable

Huawei Telecommunications (India) Pvt. Ltd.Vs. DCIT (ITAT Delhi)  The taxpayer challenged disallowance/confirmation of Rs.1,010,856,249/- & Rs.128,611,894/- for Assessment Years 2012-13 & 2013-14 respectively on account of provision for customer claim on the ground that the amount provided by the taxpayer pertaining to actual delays/defaults occurred as per the terms of the contract entered between the taxpayer and its customers and as such is an “ascertained liability”. The taxpayer has raised specific objections before the ld. DRP, available at paves 256-274 and 217-234 for AYs ...