Service tax amount not routed via P&L doesn’t attract provisions of section 43B

ACIT Vs S & A Finman Ltd. (ITAT Delhi) ITAT Delhi held that as service tax amount is not routed through P&L account, the provisions of section 43B of the Income Tax Act are not applicable to the service tax liability. Facts- Brief facts of the case are that in this case, in the order passed under section 143 (3) of the Income-tax Act, 1961 (for short ‘the Act’), AO noted that there were unpaid service tax amounting to Rs.1,79,91,057.80. AO opined that provisions of section 43B are applicable. Conclusion- Held that the issue is squarely covered in favour of the assessee by s...