Bank liable to pay Income Tax on Interest on Sticky Loans/NPAs on Receipt Basis: Himachal Pradesh HC [Read Order]

Bank - Income Tax - Tax - Interest - Sticky Loans - Interest on Sticky Loans - Interest on NPAs - Himachal Pradesh High Court - taxscan

A Division Bench of the Himachal Pradesh High Court recently held that, the assessee-Kangra Central Co-operative Bank Limited is liable to tax only on receipt of interest of Sticky Loans/Non-Performing Assets (NPAs). The assessee was asked to explain as to why the interest on loans had not been added to its income. The submission of…

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