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2012 (9) TMI 774 - ITAT, BANGALOREDisallowance of amortization of premium on investment in government securities - Invest surplus fund in Government Securities as per RBI guidelines – Though purchase made from open market at premium – Premium was written off as depreciation of value of securities – Held that:- Following the decision in case of Catholic Syrian Bank Ltd (2009 (8) TMI 858 - ITAT COCHIN), taking into account the totality of the facts and materials, assessee is entitled to claim this deduction. Decision in favour of assessee Disallowance the claim of bad debts – AO disallow the amount of claim for doubtful debts in excess of provision for doubtful debts provided in P&L – Held that:- As the provision for bad and doubtful debts equal to the amount mentioned in the section is a must for claiming such deduction. An amount of ₹ 36 lakhs is debited to the P&L account under the head "Provision for bad and doubtful debts" and however, the assessee had claimed deduction of ₹ 42,52,319- while computing the taxable income. Therefore appeal decides in favour of revenue
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