« Top Headlines » Open DEMAT Account in 24 hrs  Delhi HC Rules GST Registration Cannot Be Cancelled Retrospectively Without a Clear Show Cause Notice (SCN)  Belated income tax return AY 2026-27: How to file, late filing charges and what you may lose  Major Financial Changes from August 1, 2026: ITR Deadline, RBI MPC Meeting, Tatkal Ticket Rules & More  Government proposes to ease tax relief conditions for offshore funds  TallyPrime Connected Banking: Automating Banking and Accounting  ITR Filing Deadline 2026: Is July 31 the Last Date to File Your Income Tax Return? Latest Official Update  ITR filing deadline nears: How to file income tax return online on e-filing portal - quick 15-step guide  Will the ITR Filing Deadline Be Extended Beyond July 31 for FY 2025-26? Here's the Latest Update for Taxpayers  Income Tax Refund Delayed for AY 2026-27? 5 Common Reasons Your Refund May Be Stuck and How to Fix It  ITR Filing 2026: FM Nirmala Sitharaman Asks Tax Officials to Let Honest Taxpayers Correct Genuine Mistakes  Will Your FCNR Deposit Stay Tax-Free After Returning to India? Tax Rules Explained for NRIs «  Revisiting Coz Law Amendment Bill... People scramble to file tax-returns... » SC refuses to stay AS-22 July, 31st 2007 The Supreme Court on Monday refused to stay accounting standard AS-22 though it admitted the petitions of some corporate houses challenging this new norm issued by the Institute of Chartered Accountants of India on deferred tax liability of listed companies. A bench comprising Justice SH Kapadia and Justice BS Reddy observed that the norms would continue to be in operation after Solicitor General GE Vahanvati appearing for Centre opposed the petitions saying AS-22 had come into effect in 2001. Counsel P Dayal appearing for the Institute of Charted Accountants of India also opposed stay on the new accounting method saying that it was envisaged after much thought. Simplex Infrastructure, First Leasing Company of India and Association of Leasing and Financing Services Companies had sought quashing of AS-22 on the ground of it being ultra vires. Under AS-22, a company became liable to provide for deferred tax liability on the first day the company accounted for its income in accordance with the AS-22 even when there was no certainty. The petitioner companies through its counsels submitted that deferred tax liability was a notional liability that can be charged to the profit and loss account (PLA). Deferred tax liability arises when a firm underpays its taxes due to a difference between how it accounts for an asset on its book versus how it accounts for it on tax basis. Earlier, the Calcutta High Court had upheld AS-22 which had brought in a new concept called deferred taxation. The court while upholding it had observed that deferred tax liability was not a notional tax liability but a real liability because it would result in future cash outflow in the form of tax payment to the tax recovering authority.