Impact of ICDS on settled judicial principles

Impact of ICDS on settled judicial principles:

Till date, due to non recognition of ICAI Accounting Standards formally by the Income-Tax Act or CBDT,courts were applying the principles enumerated in AS for tax purposes, having regard to the facts and circumstances of each case, using their own discretion. However, due to advent of mandatory ICDS notified by CBDT, many of the settled judicial precedents (delivered on the basis of ICAI-AS) may not hold good with effect from A.Y. 2016-17.


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