Under Mercantile method of accounting Loss in business can be booked in the year in which it is determined

Brief of the case:

ITAT Chandigarh held in Lakshmi Energy & Foods Products Ltd Vs The ACIT that if the assessee was following mercantile method of accounting and it had booked loss in the assessment year in which the same had been determined then the same should be allowed because the assessee had taken all the required necessary steps to recover the amount, it had appealed to the ministry of commerce and also export departments etc but failed. So, it was determined in the year under appeal t

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