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2016 (1) TMI 575 - AT - Income TaxBad debts - Disallowance of deduction being excess receipt of interest shown by the appellant and assessed in earlier years - Held that:- Claim of the assessee for deduction on the ground that the claim for deduction has to be allowed as bad debt or as loss incidental to the business. We are of the view that since the claim is not being allowed on the ground that the debt in question is a non-performing assets, the decision cited by the learned DR is not relevant. Thus we hold that the claim of the assessee for deduction should be allowed. - Decided in favour of assessee Disallowance of the contribution to the recognized provident fund - Held that:- We are of the view that addition sustained deserves to be deleted. The Hon'ble Supreme Court in the case of Alom Extrusions Ltd. [2009 (11) TMI 27 - SUPREME COURT] held that deletion of the second proviso below Sec.43-B of the Act w.e.f. 0-1-4-2004 was clarificatory in nature and therefore will have to be applied retrospectively. Admittedly the payment of employer's contribution had been made by the Assessee on or before the due date for filing return of income. Therefore the payment made on or before the due date for filing return of income has to be allowed as deduction as per the first proviso to Sec.43B of the Act. In view of the aforesaid decision, we direct that the addition sustained by the CIT(A) should be deleted. - Decided in favour of assessee
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