Section – 43-D - Extension of scope of
section 43D to Co-operative Banks
According to existing provisions
interest income in relation to certain categories of bad or doubtful debts of
certain banks or companies etc. shall be chargeable to tax in the year in which
it is credited to P & L Account or actually received which even is earlier.
It is proposed to extend this
scope of this provisions to certain types of Co-op. Banks. As a consequential
measure, the interest payable on such bad or doubtful debts will be allowable
on actual payment if actually paid on or before the due date of furnishing the
return of relevant previous year.
amendment will be effective from 1st April 2018.