Deduction was allowable on upfront loan processing fee paid in lumpsum in the year of payment

CIT Vs Indus Towers Ltd. (Delhi High Court)

Conclusion: Merely because the loan processing charges though paid upfront but amortized over a period of five years, solely to be in consonance with the mercantile system of accounting, deduction of the entire charges in lump sum in the year in which the same were paid could not be denied to assessee.

Held: Assessee-company was incorporated in the year 2007 as a joint venture Company of Bharti Infratel Limited,

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