Rejection of Accounting Method followed by Assessee which was accepted in Assessment of earlier Year

Method of Accounting regularly followed by the taxpayer which was accepted by the Tax Officer in past cannot be rejected in future years without expressing the dissatisfaction about the correctness or completeness of the accounts of the taxpayer Recently, the Madras High court in case of CIT Vs. SAS Hotels & Enterprises Limited [Appeal No. 1030 of 2010] (Madras High Court) held that the Assessing Officer (AO) should not reject the method of accounting which is in accordance with Section 145(1) (Refer Note-1) of the Income-tax Act, 1961 (the Act) and is regularly followed by the taxpayer. F...