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2011 (8) TMI 765 - HC - Income TaxMAT - Provision for Doubtful advances and Investments - Held That:- The ascertained liability continues to be reflected in the subsequent assessment years under the head 'Sundry Debtors'. If these were ascertained liabilities, then the assessee has not written it off from the books in accordance with the provisions of 36(i)(vii). The copies of sundry debtors for the assessment years 1999-2000, 2000-01 and 2001-02 produced by the assessee discloses that they were forming part of NPA but were not reflected in sundry debtors for the current assessment year but also in the subsequent assessment years with the same sum. Therefore, the said liability is not NPA but the performing assets as they have continued to be forming part of sundry debtors. As the aforesaid doubtful debts were not actually written off under Section 36(i)(vi) from the books the said amount is to be added in arriving at the net income from the book profits. - Appeal decided in favour of revenue.
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