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2022 (1) TMI 1369 - HC - Income TaxTP adjustment - adjustment of Corporate Guarantee - HELD THAT:- As pointed out to us that the issue is squarely covered by a detailed judgment of this Court [2017 (12) TMI 583 - RAJASTHAN HIGH COURT] concerning this very assessee. Under the circumstances these questions are not considered. Write off of loss on account of investment made in equity shares of one of its subsidiary - HELD THAT:-This issue is covered by a recent order [2021 (12) TMI 1407 - RAJASTHAN HIGH COURT] which also concerned this very assessee held that assessee had made investment in its subsidiary company in order to expand its business with a view to earn higher profit. The investment was thus driven by business expediency. The tribunal therefore committed no error as opined that such investment being in the nature of revenue expenditure was to be allowed under Section 37. MAT computation - Write off of investment n the subsidiary company for the purpose of computing “book profit” u/s. 115JB - HELD THAT:- Full Bench of the Gujarat High Court in the case of CIT Vs. Vodafone Essar Gujarat Ltd. [2017 (8) TMI 451 - GUJARAT HIGH COURT] held that with insertion of clause (i) to the explanation with retrospective effect, any amount or amounts set aside for provision for diminution in the value of the asset made by the assessee, would be added back for computation of book profit under section 115JB - if this was not a mere provision made by the assessee by merely debiting the Profit and Loss Account and crediting the provision for bad and doubtful debt, but by simultaneously obliterating such provision from its accounts by reducing the corresponding amount from the loans and advances on the asset side of the balance sheet and consequently, at the end of the year showing the loans and advances on the asset aside of the balance sheet as net of the provision for bad debt, it would amount to a write off and such actual write off would not be hit by clause (i) of the explanation to section 115JB. ITAT justification to remit back the issue of disallowance out of provision for doubtful loans and disallowance out of bad debts provision claimed in MAT to the file of the AO for verification - HELD THAT:- The questions as arise out of the order of the Income Tax Appellate Tribunal remanding certain issues to the assessing officer for fresh consideration. Being a pure remand and we are informed that decisions have also been rendered in such remand, no question of law arises.
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