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2016 (7) TMI 1323 - HC - Income TaxDisallowing the provisions for non performing assets debited to Profit and Loss Account - Held that:- Having regard to the retrospective effect of the amendment from 1/4/1998, both the learned counsel for the parties submitted that the issue as to whether adding up of sums under Lease Equalisation Reserve and special depreciation reserve, would fall under clause (g) to the explanation to the second provisio to Section 115 JA of the Income Tax Act, 1961 requires to be addressed, and adjudged by the assessing Officer. In the light of the subsequent amendment with effect from 1/4/1998, now brought before this Court, and the submissions stated supra, we are of the view that the substantial questions of law involved in the instant appeal requires to be suitably framed and therefore, in exercise of powers conferred under Sub-Section 3 of Section 260 A of the Income Tax Act, 1961, the following substantial question of law is framed. “Whether Lease Equalisation Reserve and Special Depreciation Reserve would fall under clause 'g' to the explanation to the second provisio of Section 115 JA of the Income Tax Act.” To adjudge the above issue, we are also of the view that the matter requires to be remanded to the Assessing officer.
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